Bunge exits U.S. corn milling after 45 years with sale to Grain Craft
The transaction includes dry corn milling plants in Crete, Nebraska; Atchison, Kansas; and Danville, Illinois, as well as dry masa production sites in Muleshoe.
USA – Bunge Global SA is divesting its North American dry corn milling operations, spanning six facilities and approximately 600 employees, to Grain Craft, the third-largest flour miller in the U.S., in a move signalling Bunge’s continued strategic shift away from regional assets.
The financial terms of the deal, announced on April 15, were not disclosed.
The transaction includes dry corn milling plants in Crete, Nebraska; Atchison, Kansas; and Danville, Illinois, as well as dry masa production sites in Muleshoe, Texas; Red Oak, Iowa; and Worthington, Indiana.
The acquisition also includes a transload and packaging facility in Querétaro, Mexico. Pending regulatory approval and customary closing conditions, the acquired division will continue to be headquartered in St. Louis.
The acquisition represents a major expansion for Chattanooga-based Grain Craft, which currently operates 15 flour mills with a total daily milling capacity of 147,000 cwts.
According to Pete Frederick, president and CEO of Grain Craft, the addition of Bunge’s corn milling assets marks a “transformational acquisition” that broadens the company’s portfolio beyond traditional wheat flour.
“This move enhances our ability to serve customers across a broader spectrum of food ingredients,” Frederick stated.
Grain Craft, which also owns Central Milling, an organic flour subsidiary, is positioning itself to serve an expanded range of industries, including baking, food service, pizza, and tortilla production.
For Bunge, the deal marks the end of a 45-year legacy in U.S. corn milling. The company entered the sector in 1979 with the acquisition of Lauhoff Grain Co. in Danville, Illinois.
That acquisition made Bunge the largest dry corn miller in the world at the time. Bunge’s exit comes as part of a broader strategic reassessment of its portfolio, aligning its operations more tightly with its global value chains.
“We carefully considered how this regional business fits with our long-term plans. We’ve decided to focus on areas more closely aligned with our global operations. We are thankful for the dedication of our corn milling team,” said Julio Garros, co-president of Agribusiness for Bunge.
This latest divestiture follows Bunge’s recent announcement of the sale of its European margarines and spreads business to Belgium’s Vandemoortele, reinforcing the company’s shift toward streamlining its core competencies.
At the same time, Bunge is awaiting final regulatory approval for its US$18 billion acquisition of Viterra, a Rotterdam-based agribusiness. That deal, originally unveiled in June 2023, is set to significantly strengthen Bunge’s global grain and oilseed origination and export network.
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