Growers in the new Rocky Mountain Sugar Cooperative finalized purchase on June 6 of the British Company Tate and Lyle's Western Sugar Company.
The purchase is conditional on the RMSGC, headquartered in Scottsbluff, NE, finalizing the necessary financing arrangements.
The agreed upon purchase price is $96 million plus a further amount of $30 million due after June 2003, based on sales revenues. Growers will pay $75 million in cash on the closing date plus $21 million in installments beginning in November.
Tate and Lyle "wrote down" for the sale 86 million pounds. A further write-down on the planned sale amounting to 36 million pounds was included in the results for the year ending in March 2001.
The purchase includes Western Sugar's six factories in Nebraska, Wyoming, Colorado and Montana.