Key Takeaways:
- CHS completed the acquisition of West Central Ag Services on January 2, 2025.
- The acquisition creates CHS West Central, a new ag retail business unit.
- Jesse McCollum, former West Central Ag Services CEO, will serve as senior director of operations.
- All West Central Ag Services employees were offered positions within the company.
- CHS now fully owns Central Plains Ag Services, previously a 50-50 joint venture.
Why Did CHS Acquire West Central Ag Services?
On January 2, 2025, CHS finalized its acquisition of West Central Ag Services, a cooperative based in Ulen, Minn. The acquisition aims to connect more producers to the global supply chain while enhancing value for producer-owners. By integrating West Central Ag Services, the company strengthens its position in the agricultural retail and grain sector.
What Changes Will Occur at West Central Ag Services Locations?
Following the acquisition, West Central Ag Services will operate under the new business unit CHS West Central. All locations will remain operational, and grain and agronomy services will continue without disruption. The business unit will retain its base in Ulen, Minn.
Jesse McCollum, former CEO of West Central Ag Services, will assume the role of senior director of operations at CHS West Central. The producer board from West Central Ag Services will also remain in place to ensure continuity and local representation.
How Does This Acquisition Benefit Producers and Employees?
CHS offered employment to all West Central Ag Services employees as part of the acquisition. The local management team will continue overseeing operations at CHS West Central, ensuring a seamless transition.
Jesse McCollum expressed optimism, stating, “This is an exciting time for our owners and our cooperative as we join CHS and become part of the global supply chain through CHS. We are thrilled to be part of the nation’s leading farmer-owned cooperative to serve farmers in west-central Minnesota for generations to come.”
What Happened to the Central Plains Ag Services Joint Venture?
Before the acquisition, CHS and West Central Ag Services jointly owned Central Plains Ag Services, a 50-50 joint venture based in Hannaford, N.D. With the acquisition, CHS now fully owns this entity, integrating it into its ag retail business unit located in Devils Lake, N.D.
McCollum highlighted the alignment of both organizations, noting, “West Central Ag Services and CHS have had a strong relationship for many years based on aligned visions to advance the cooperative system, serve our owners better and create more value for owners. Now we will do that as one cooperative.”