Rainbow acquired share of Green Crop
Rainbow and Green Crop's shareholder signed an agreement on equity purchase of Green Crop to set up Joint Venture on 29th of Jun, 2015, and finish the share transfer recently. Rainbow became to be the major shareholder of Green Crop.
Green Crop was founded in end of 2008 as an Argentina local marketing company, owns more than 20 registrations with office in Buenos Aires city. In 2013 Green Crops acquired a formulation plant (Dicopack) and then also started to afford formulation service to local Agrochemical companies. This formulation plant is located in industrial park, Gualeguaychu, Entre Rios, has very good location to exports to Uruguay, Paraguay and Brazil.
After this deal, Rainbow will also bring his advance formulation technology, R&D service and quality control policy, experience to Green Crops. Green Crop will stop its brand distribution business and focus to be an independent formulation plant to afford professional and higher quality agrochemical formulation service to all agrochemical companies, not only for Argentina, also for Mercosur region.
Based on the agreement, Green Crop will have capital increase for further investment on:
1. New and higher standard laboratory for quality control;
2. Upgrade current production line to be better organized;
3. Increase production capacity for current production line;
4. More new production lines for more formulation types such as SC, WG, CS.
Green Crop will focus on formulation R&D, quality and cost control in order to satisfy client's demand. Green Crop target is to be world class agrochemical toller with capability and facility for all different kinds formulations, to be the first partner choice of clients.
Before this investment, Rainbow already made investment for formulation plant in Panama. Panama plant will mainly focus to satisfy Rainbow's demand for Central American, Caribbean, Andean region. Green Crop will support Rainbow's demand the rest of South American region. This investment helps to improve Rainbow's supply chain, logistic, and also cost position.