DLF, the Danish multinational grass, forage crop and turf seed company, has made its first investment in South America as part of its strategy to enhance its business there.
The company has acquired a 60% majority shareholding in Estero, based in Montevideo, Uruguay, with Carlos Rocha and Jorge Gari, founder directors of Estero, owning the remaining 40%. The company will operate as DLF Estero in South America, with a focus on the beef and dairy farm market plus professional turf grass users there. DLF’s existing wholesale activities in Argentina will also be integrated into the company.
Privately-owned Estero was established in 2002. It is the third largest forage and turf seed company in Uruguay, producing, distributing, and marketing a range of cool-season and tropical forage grasses and legumes, sorghum, sunflower, soybean, corn and turf grass seeds. Product is exported to throughout South and North America, as well as to Europe, Asia and Africa. The company collaborates with a number of plant breeders, including the state breeding institutes in Uruguay and Argentina.
"This investment, our first in South America of this kind, represents a cornerstone in our strategic ambitions for South America,” says DLF chief executive Truels Damsgaard. "We have known Estero for more than 10 years as a well-managed and highly esteemed seed company. Our investment secures a platform from which we can develop our seed activities in Uruguay as well as throughout South America. In addition, Estero offers an excellent opportunity to leverage our ongoing investments in research and plant breeding even further. Our varieties developed from our global R&D are well adapted to perform well in many parts of South America.