ADM's Quiet Expansion

Not that anyone has notice but Archer Daniels Midland (ADM) has been adding assets at quit the rate lately.

Archer Daniels Midland Co (ADM.N) was expected to buy ownership interest in three grain elevators from its bankrupt partner, Pilgrim's Pride Corp (PGPDQ.PK), U.S. Midwest grain traders said on Monday.

Pilgrim's Pride is seeking court approval of the sale, which it expects to generate $5 million, according to papers filed Jan. 16 in U.S. Bankruptcy Court in Fort Worth, Texas.

Two elevators are in Brookston and Parr in northwest Indiana, according to news releases issued when the joint venture was created in 2006. The third elevator is in Hoopeston, Illinois, just across the Indiana border.

ADM, based in Decatur, Illinois, declined to provide additional details. ADM operates more than 350 grain elevators and earned $1.8 billion last year for storing, transporting and processing grain and oilseeds.

ADM has the right of first refusal in the deal.

Food processor Archer Daniels Midland Co. said Friday it agreed to acquire Schokinag-Schokolade-Industrie Herrmann GmbH & Co., a German chocolate and cocoa powder producer.

Financial terms were undisclosed.

ADM said the acquisition will allow it to strengthen its cocoa and chocolate supplier business in Europe.

Schokinag, based in Mannheim, Germany, makes chocolate and other cocoa products in Mannheim and in Manage, Belgium.

Archer Daniels Midland Co. (ADM) is close to taking control of a Brazilian agricultural cooperative Cooagri, reported local financial newspaper Valor Economico Friday. ADM is expected initially to lease Cooagri's 18 units in Mato Grosso do Sul state, the newspaper reported. The deal is expected to be signed on Feb. 13, said Valor.
ADM sees the potential to hike Cooagri's corn and soy storage capacity by 50% from its current one million tons, a person close to the deal told Dow Jones Newswires.

Brazil is the world's No.2 soy producer after the U.S.

VeraSun Energy Corporation (NYSE:VSE) (Brookings, South Dakota), the nation's second largest ethanol producer, will auction off seven fuel-ethanol plants representing 640 million gallons of annual company that the company acquired when it merged with U.S. BioEnergy. According to court filings, the auction will take place between March 16 and March 31.

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