SLC Agricola Acquires 12.4 Thousand Hectares in Bahia, Expanding Its Reach in Brazilian Agribusiness

About Brazilian Agribusiness: SLC Agrícola (SLCE3) Announced on Thursday, 23, That Its Wholly Owned Subsidiary Fazenda Paysandu Agricultural Ventures Celebrated an Agreement to Acquire 12,473.88 Hectares of Arable Land in Bahia.

The transaction value was R$ 470 million, of which R$ 55.1 million was allocated to existing improvements on the land. The price per arable hectare corresponds to R$ 33,262.60. This acquisition reinforces SLC Agrícola’s presence in the Brazilian agribusiness sector and consolidates its investments in the region.

With this acquisition, the company has solidified its position as a leader in cotton production in Brazil, along with the acquired improvements, which include a cotton gin with a capacity of 750 bales of fiber per day and silos with a storage capacity of 9,000 tons.

SLC Agrícola stated that this acquisition will allow the company to expand its business in the coming years and optimize production processes throughout the agro-industrial chain. The director of SLC Agrícola declared: “We are very excited about acquiring this land and believe it will be essential for our operations in the near future.” 

This acquisition was made after months of discussions between both parties involved and passed scrutiny by the competent authorities to ensure the legality of the process. Now, SLC Agrícola has great expectations for prosperity thanks to its expansion in Brazilian agribusiness.

SLC Agrícola

SLC Agrícola, a company founded in 1977 by Grupo SLC, has become a reference in the agricultural sector by being one of the first companies to have its shares traded on the Stock Exchange. With its headquarters in Porto Alegre and 23 production units spread across seven Brazilian states, the company has established itself as a global leader in agricultural business efficiency.

To achieve this goal, SLC Agrícola adopts a hybrid business model that includes three main approaches: Asset Light Business Model, Maximization of Asset Utilization, and Use of Owned Land. These practices enable the company to achieve organic growth through productivity, as well as acquisitions and leases of already mature farms to maximize results.

However, the company also invests in Crop-Livestock Integration (ILP) systems, allowing it to produce a “third crop,” thus creating a more stable environment for the soil. The second crop cultivation also contributes to a more rational use of production factors, with lower production costs.

These investments not only aim for economically viable sustainable results but also for environmental preservation. Therefore, the company maintains its commitment to the planet and future generations, seeking to positively impact through its work. Thus, it believes that those who are passionate about what they do are committed and can produce high-quality services. This posture has been recognized with lasting and ethical relationships among all stakeholders in SLC Agrícola’s processes.

As a result, the company has been gaining more and more space in the Brazilian agribusiness, having planted 672.4 thousand hectares in the 2021/2022 harvest. This year promises to bring even more advancements for SLC Agrícola, which remains steadfast in its pursuit of increasingly modern and sustainable agriculture.

The Incredible Story of SLC Agrícola: From Farm to Stock Exchange