Jacklin Thriving Under Simplot Renamed Operation To Acquire Two Seed Distribution Companies, Expand Sales In China
The grass keeps getting greener for Jacklin Seed Co.
Last summer thelocal owners sold the Post Falls-based grass seed and turf company to agriculture giant J.R. Simplot Co. of Boise.
Since then, as a division of Simplot, Jacklin Seed has taken charge of Simplot’s BEST fertilizer business, made plans this week to acquire two seed distribution companies, and expanded sales in China.
The sale to Simplot last September ended more than a half century of Jacklin family ownership, but brought new markets and financial support for expansion. Though Doyle Jacklin will keep his position as head of the expanded grass seed, turf and fertilizer division, it will now be called Simplot Turf and Horticultural Products.
Under an agreement finalized this week, Jacklin’s seed and BEST’s fertilizer products will be marketed together. Combined annual sales for Jacklin and BEST are nearly $100 million.
It’s an advantage to merge the two and share customers, said Simplot President Steve Beebe. “Jacklin has extensive distribution in North and South America, Europe and Asia, while BEST products command a dominant position in the western United States professional turf industry.”
Each firm’s products will continue to be marketed under their own names and the Jacklin logo will still have a prominent place with its customers as well as on its trucks and warehouse walls in Post Falls.
The newly-named Simplot Turf and Horticultural Products division plans to announce today its intent to acquire National Seed in Downers Grove, Ill., and National Seed of New Jersey to expand its distribution reach. The deals should close July 8, said Doyle Jacklin.
Both companies already distribute Jacklin seed.
“They’re both good customers of ours,” Jacklin said. “When we acquire them we expect to be a major supplier of seed for both companies.”
In addition to the marketing alliance and the ability to acquire new companies, being under Simplot’s umbrella has its advantages, especially in Asia, Jacklin said.
Though the financial crisis there and Japan’s slowing market have hurt Jacklin’s sales, “China is still going like gangbusters for us,” Jacklin said.
Sales to Japan, Jacklin’s largest international customer, are down 40 percent, but sales in China are up nearly that much, Jacklin said.
“They have a three-year plan to build highways, stadiums and fields,” he said. “Over half our seed is going for roadside construction … and we’ve got two more good years, at least.”
Simplot is a privately-held agribusiness with more than 12,000 employees and annual revenues of $3 billion. In China, a large part of its business is growing potatoes for McDonald’s restaurants.