Rumour has it that CGC pulled NWT licence

[jdg364]

Heard this at coffee during this mornings rain event, haven’t seen any news article. Looks like this past winter was tough on grain handlers margin as another one bites the dust.

With yields down and prices lower will farms quit expanding, will banks continue to lend, will older farmers that have been making good money these last few years pull the pin and put the farm up for auction??

It’ll be an interesting winter.

[LEP]

Been watching their information posted on sedar all winter. They have had a tonne of losses that they have borrowed to cover.

They were at the point of not having the working capital to operate at a profitable capacity. There was no way they could work their way out of the situation.

Only answer was a sale to someone like Grainconnect or G3. But they can read statements and know that they can fight over the scraps in receivership.

[TraderJoe]

Nothing on CGC website...

[Herc]

Where’s Vicki to tell me about marketing options…..

[furrowtickler]

Hey but new combines are 1.5 mill

[ry0972]

Did the license get pulled or did a new owner take over on paper and there is no NWT anymore??
For a few months there have been stories that it was sold ???

[Herc]

Did the license get pulled or did a new owner take over on paper and there is no NWT anymore??
For a few months there have been stories that it was sold ???

How can it sell? Nobody wants an ethanol plant and nobody wants an elevator with 60-70% condo.

[bucket]

There are probably farms that could use a facility like that. 350000 acres would provide a few turns , allow blending possibly start a smaller grain company , and capitalize like other graincos have done for over a century. A 350000 acre farm at $2500 should have the ability to compete. Other graincos left farmers as peasants . What happens when the peasants have the land to capital ratios that someone would look at investing in????

Many questions, not that I support the move to large farms for an assortment of reasons but some of these guys have timed their expansions pretty well. 350000 acres moving to 500000 have a real value of over a billion dollars. That capital base can work.

Does Cargill, paterson P&H own that much land? They have been skimming the cream because they don't want the peasant work.

[Herc]

Nothing on CGC website...

Its posted now…

[helmach]

there she be