ADM acquires biodiesel company in Poland

Archer Daniels (ADM) has bought Elstar Oils in its entirety after acquiring the final 2.26% of shares.

Elstar Oils, a biodiesel company located in northern Poland, operates a rapeseed crushing, refining, solid-fat packaging and oil bottling facility in Czernin and a fully-automated biodiesel facility in Malbork.

ADM first began acquiring Elstar’s shares back in August 2011 and says as part of the buyout it will de-list the company from the Warsaw Stock Exchange.

‘Achieving operational control of Elstar Oils is an important step in ADM’s strategy to acquire and consolidate existing oilseed processing, food manufacturing and biodiesel capabilities in this growing origination and consumer market,’ says ADM Europe’s president Brent Fenton. ‘Elstar’s facilities are ideally located to complement and expand our ownership in the Eastern Europe region.’

ADM already has operations in Poland, including an oilseeds crushing and refining facility in Szamotuly that refines and bottles retail vegetable oils; country elevators in Slawa Wielkopolska and Chroscin; and an import and export terminal owned as part of a joint venture in the port of Gdynia.

The company plans to expand under this latter joint venture by building a new grain warehouse; and also plans to extend its distribution of bottled vegetable oils.