ADM buying Specialty Commodities for $170M

Archer Daniels Midland Co. is buying a distributor of nuts, fruits and other organic ingredients for $170 million.

Chicago-based ADM said Monday it will acquire Specialty Commodities Inc. and add it to the company’s recently created WILD Flavors and Specialty Ingredients business unit.

Specialty Commodities, based in Fargo, North Dakota, is an originator, processor and distributor of fruits, nuts, seeds and grains. Its customers include businesses involved in the snack, ice cream, cereal, bakery and pet food industries.

“Consumers around the world are demanding higher-quality, better-tasting, healthier foods with clean labels. We are continuing to add new product streams to our portfolio to enhance our capabilities to serve our customers as they respond to this demand,” ADM chairman and CEO Patricia A. Woertz said in a news release.

Specialty Commodities has two processing facilities in California as well as locations in Illinois, Minnesota and New Jersey. It does business in countries including Argentina, Australia, Bolivia, Brazil, China, India, and South Africa.

ADM expects to complete the acquisition within weeks.