Expert report on Senwes acquisition of MGK

Genesis was commissioned to provide an expert economic report related to the filing of the acquisition of the MGK agricultural cooperative by Senwes. The acquisition raised potential concerns with respect to both grain trading and storage.

Using extremely granular storage information, the project team was able to demonstrate that, despite the close proximity of some of their grain silos, the two parties did not compete for storage space.

Similarly, a detailed examination of grain trading purchases and sales revealed that the parties did not compete for purchases from the same farmers nor did they compete for the same mill-door contracts. The merger was, however, ultimately abandoned for commercial reasons.