A new financing alliance was created this week as Rabobank, through its Iowa-based subsidiary Rabo AgServices, and Anderson Clayton Corp., a wholly-owned subsidiary of Queensland Cotton Holdings Limted joined forces. The Alliance will jointly fund loans originated by Anderson Clayton's financial subsidiary, ACCO Finance Co.
A statement from Rabobank says the joint venture hopes to combine Rabobank's and Rabo AgServices' expertise in crop finance for agricultural producers, and the financial resources of Rabobank; and Anderson Clayton's expertise in working with cotton growers in California and Arizona.
While Anderson Clayton has historically provided financing to cotton growers, this Alliance will allow it to broaden its customer base in financing other agricultural sectors and provide additional financial services to its clients. Acquired by Rabobank in 2003, Rabo AgServices is actively growing its portfolio of operating loans to farmers and ranchers, and developing a growing number of strategic alliances with agricultural service providers such as Anderson Clayton.
Dave DeFrank, Senior Vice President of U.S. operations for Anderson Clayton, says he's pleased with the formation of the alliance with Rabo AgServices "as it will significantly increase Anderson Clayton's liquidity and provide us with greater flexibility to grow our business, to expand our customer base and markets served, and to better meet the needs of our customers, both current and prospective. Rabobank has been a valuable financial partner for many years, and this new relationship with Rabo AgServices will enable us to tap their agricultural lending expertise and tremendous financial strength to achieve Anderson Clayton's strategic business goals."
Rabo AgServices Chief Financial Officer Tom Levasseur says the alliance allows Rabobank to leverage its strengths. "Rabo AgServices' combination of agricultural financing expertise, our thorough knowledge of Anderson Clayton's financing business and the cotton sector, and the financial strength and resources of Rabobank, makes us a valuable partner for Anderson Clayton and many other agricultural industry leaders."