PRINCE COUNTY

Grain facility sold to Island company

SUMMERSIDE, P.E.I. – The former W. A. Grain and Pulse Solutions facility in Slemon Park has found a buyer.

The facility, operated locally as New Leaf Essentials, has been mothballed since its parent company went into receivership in April 2021. About 10 local jobs were lost when the facility closed.

ADDiCAN Animal Nutrition announced its acquisition of the property on Nov. 11, via its Facebook page.

A company representative declined to do an interview but did answer a few emailed questions from SaltWire Network.

Mary Pound, the company’s senior administrative manager, stated the acquisition of the Slemon Park facility will allow ADDiCAN to expand its manufacturing and bulk product holding capabilities for North American and international markets.

The company plans to invest in new technology at the facility and wants to eventually hire an estimated 45 positions.

“ADDiCAN plans to double staff at the new manufacturing facility. The company plans to invite for a job interview the previous staff who (are) willing to work again,” the emailed statement said. “ADDiCAN plans to invest in soybean crushers and the proposed soybean processing plant could bring 45 jobs.”

The company said it intends to use technology that is new to Atlantic Canada.

Founded in early 2014, ADDiCAN is based in Ebenezer, P.E.I., but also has offices and manufacturing facilities in Quebec, Texas and New York. It produces feed and feed additives for livestock such as poultry, cattle, sheep, horses and fish and has an extensive feed distribution network in Atlantic Canada.

When W.A. Grain and Pulse Solutions entered receivership, it owed the taxpayers of P.E.I. nearly $4 million after various government investments into the Slemon Park facility.

Other creditors were owed a total of $24 million. The province also held a mortgage on the property at that time.

In an emailed statement, Finance P.E.I. confirmed that it had worked with the receiver, Price Waterhouse Copper, to find a buyer for the property. The proceeds of the sale were applied against the mortgage and the taxpayers have been repaid. The province no longer holds a security position or mortgage on the property.

“When the property was acquired by ADDiCAN, the proceeds from the sale were applied to the secured creditors (Finance P.E.I.) and we have been repaid in full (no write-off),” stated the spokesperson.

The facility is one of the last of W. A. Grain and Pulse Solutions facilities to sell. The company’s assets in Alberta and Saskatchewan, five facilities in total, all sold to various buyers last year.

There was difficulty finding a buyer for the Slemon Park facility and there were at least two invitations from the receiver for bidders.