December 19, 2023

By Lynda Kiernan-Stone, Global AgInvesting Media

Colliers’ Global Agribusiness team is managing the campaign for the sale of the Merredin Farms Wheatbelt Portfolio, the largest corporate broadacre land asset in Western Australia.

Currently owned by SALIC Australia Pty Ltd (SALIC Australia) and PenAgri Farms Pty Ltd (PenAgri Farms), and ideally located in the country’s enviable Wheatbelt region, Merredin Farms comprises a total 77,954 hectares (192,629 acres) of freehold agricultural land including 66,159 arable hectares (163,482 acres) sustainably growing wheat, canola, and barley across multiple farms.

Colliers explained that PenAgri Farms is being advised by Pendulum Capital Pty Limited, a specialist agribusiness advisory firm in Western Australia who will be providing assistance to Colliers throughout its management of an International Expression of Interest sale campaign.

“We’re extremely pleased to market for sale this institutional grade broadacre grain growing enterprise that has been well developed and operated by the Merredin Farms team,” said Rawdon Briggs, head of agribusiness, Colliers. “Possessing critical mass and with economies of scale, the vendors have created an incredible platform for low cost, high-volume grain production.”

Duncan McCulloch, national director of agribusiness with Colliers, explained that the sale of this significant grain production operation offers dual channels of growth – through earnings and via land appreciation, adding, “The low cost high volume business model is well supported by a quality management team, an operationally efficient hub and ideal Wheatbelt location close to numerous grain handling terminals allowing efficient production and logistics.”

William England, CEO, SALIC Australia and GM, Merredin Farms, agreed, stating that the Merredin Wheatbelt Portfolio represents a rare opportunity for a potential buyer to gain a prominent position in Western Australia’s agricultural sector, which continues to strengthen. 

England then provided more in-depth detail regarding the portfolio, stating, “The portfolio offers a turnkey corporate farming operation inclusive of world-class governance, HR, procurement, and WHS systems all focused on growing wheat, canola, and barley sustainably.”

Despite the decision to divest the Merredin Farms Wheatbelt Portfolio, England noted that SALIC Australia intends to continue to be present in the country’s agricultural space, and that the planned sale is being undertaken as part of a reshaping of its strategic focus on various agricultural value chains in the region. 

Colliers’ Rawdon Briggs, who along with Duncan McCulloch have the exclusive listing on behalf of the vendors, concluded, “Our role is to ensure the global investor market is focused on this institutional grade offering via our Colliers Global Agribusiness teams to action direct engagement with investors.”

“Importantly, we will explain the significant additional annual ACCU’s earnings drivers that will soon be unlocked across Merredin Farms Wheatbelt Portfolio via carbon farming and large renewable projects in addition to core grain production attributes.”

For more information regarding the Merredin Farms Wheatbelt Portfolio and the International Expression of Interest campaign, you can contact Rawdon Briggs Rawdon.Briggs@colliers.com or Duncan McCulloch Duncan.Mcculloch@colliers.com.

~ Lynda Kiernan-Stone is editor in chief with GAI Media, and is managing editor and daily contributor for Global AgInvesting’s AgInvesting Weekly News and  Agtech Intel News, as well as HighQuest Group’s Unconventional Ag. She can be reached at lkiernan-stone@globalaginvesting.com.

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