Ridley Corporation (RIC)

Stock Code

RIC

Stock Exchange

Australian Securities Exchange

Ridley Corporation (RIC) specialises in the manufacturing and supply of stock feed and animal feed supplements. It also focuses on the crude salt production, salt refining and distribution. Ridley Corporation listed on the Australian Exchange on 13th August, 1987. The Company has two main operating divisions: Ridley Agriproducts and Cheetam Salt. Ridley Agriproducts division is engaged in the supply of stockfeed. Cheetam Salt division is focused on the production and refining of salt. Ridley AgriProducts produces a wide variety of animal nutrition products for use in the beef, dairy, pig, poultry, horse, sheep, pet food and aquaculture industries. Its key brands are Barastoc, Rumevite, Cobber and Ridley Aqua-Feed. Cheetham Salt supplies a range of food, industrial, chemical and agricultural markets throughout Australia, Asia and the Pacific. Its key brands are Mermaid, Kooka, Crown and Saxa. In November 2008, Ridley Corporation sold its 68.8% shareholdings in Ridley Inc. to Fairfax Financial Holdings Limited and its subsidiaries. Ridley purchased Hubbard Feeds business, based in the US mid-west in 1997. It completed the acquisition of UK based Cotswold Pig Development Company Ltd in 1998, which was later sold in 2002. Ridley purchased Wayne Feeds in 2000, and expanded its operations in the US stockfeed market. It acquired business and assets of Sweetlix LLC in 2004. In 2005, Ridley purchased Dry Creek salt field, based in South Australia from Penrice for value A$54.5m.

Ridley Corporation History

Ridley was formed in 1987 with a focus on Diamond Salt operation. Later the company acquired interests in regional radio stations in Victoria. In 1990, Ridley entered into the business of stockfeed and salt. It acquired Barastoc Stockfeeds in 1990, sold its radio and certain property shareholdings in 1991, and acquired Cheetham Salt and Cheetham Rural in 1992. RIC expanded its salt business through acquisition of 50% Dominion Salt, a New Zealand-based Company, in 1996. Ridley entered the North American market through acquisition of Feed-Rite, a large Canadian stockfeed company, in 1994. Ridley purchased Hubbard Feeds (now Ridley Inc), located in the US mid-west in 1997, which resulted in the increased sales amount of Ridley's North American stockfeed business. Ridley purchased Cotswold Pig Development Company Ltd, based in the UK in 1998. It completed the acquisition of Wayne Feeds in 2000 and acquired assets of Sweetlix LLC in 2004. In 2005, it purchased Dry Creek salt field, situated in South Australia from Penrice for value A$54.5m. The annual production capacity of the salt field is circa 650,000 tonnes. Ridley has also a long term 'take or pay' agreement with Penrice for the supply of around 600,000 tonnes of salt per annum to Penrice through a dedicated brine pipeline. This contract is expected to be a source of a long-term steady income stream to Ridley's earnings.