Archer Daniels Midland Co Stock Price, News & Analysis

ADM expands its health and wellness portfolio by acquiring Deerland Probiotics & Enzymes. This strategic investment aims to tap into the $775 billion global demand for health products. Deerland, a leader in probiotic and enzyme technologies, complements ADM's offerings with its extensive branded product lines. The acquisition is expected to increase ADM's Health & Wellness revenue to over $500 million annually. Subject to regulatory approval, the deal will transfer approximately 320 employees to ADM.

ADM reported Q3 2021 net earnings of $526 million and adjusted net earnings of $548 million, with segment operating profit at $1 billion. Adjusted EPS rose 9% to $0.97, despite a higher effective tax rate of 18%. The company experienced consistent profit growth for eight quarters driven by strong demand and operational execution. Strategic initiatives include a 75% stake in PetDine and partnerships for sustainable solutions. Corporate costs increased, but overall performance remains strong.

ADM and Gevo, Inc. have signed a memorandum of understanding (MoU) to produce sustainable aviation fuel (SAF) from ethanol and isobutanol. This collaboration aims to transition ADM's dry mills in Columbus, Cedar Rapids, and Decatur for the production of approximately 500 million gallons of SAF from 900 million gallons of ethanol. The initiative supports growing demand for low carbon fuels, with production expected to start in the 2025-2026 timeframe. The U.S. aims to produce 4 billion gallons of SAF by 2030, increasing to over 45 billion by 2050.

ADM announces a significant equity investment in Acies Bio, a Slovenia-based biotechnology firm, to enhance its capabilities in precision microbial fermentation. This partnership aims to advance innovative, sustainable solutions in agriculture and food production. ADM's investment, through its corporate venture arm, ADM Ventures, will help accelerate Acies Bio’s platform technologies, improving their infrastructure and high-throughput capabilities. This collaboration opens new growth opportunities in the microbial technology sector, aligning with ADM's commitment to sustainability.

ADM (NYSE: ADM) has agreed to sell its ethanol production complex in Peoria, Illinois, to BioUrja Group. This divestiture will reduce ADM's ethanol capacity by 135 million gallons, allowing the company to redeploy capital into strategic growth investments. CEO Juan Luciano emphasized that this sale aligns with ADM's ongoing transformation and sustainable growth strategy. The transition will be smooth for the approximately 150 employees at the Peoria facility. BioUrja Group looks forward to enhancing its bio-ethanol production capabilities and contributing to the global energy transition.

On October 19, 2021, Solarea Bio, a biotech firm from Cambridge, MA, announced a technology licensing agreement with ADM (NYSE: ADM). This partnership aims to harness microbial technologies developed by Solarea to address inflammatory conditions like osteoporosis. ADM will explore using these microbes in innovative food and beverage solutions targeting health and wellness. Both companies expressed enthusiasm about the collaboration and its potential to create impactful health solutions. This agreement underscores ADM's commitment to expanding its microbiome strategic platform for growth.

ADM, a leader in nutrition, has released its second annual list of global consumer trends based on insights from its Outside Voice platform. Key trends include a focus on holistic nourishment, plant-based diets, gut health awareness, clean sourcing demands, and the humanization of pets. The report highlights consumers' desires for transparency, sustainability, and responsible animal feeding. These insights aim to guide product innovation for brands seeking relevance in an evolving marketplace, reflecting a significant shift in consumer values and behaviors.

ADM (NYSE: ADM) and Qingdao Vland Biotech Group have announced a joint venture aimed at capturing the demand for human probiotics in China. Retail demand for probiotics in China is projected to reach $1 billion in 2022, growing at over 9% annually. The 50-50 joint venture will manufacture and sell human probiotics, leveraging the expertise and capabilities of both companies. Regulatory approval is needed for the venture, which is expected to launch in the first half of 2022. This partnership forms part of ADM's broader strategy to expand its health and wellness portfolio.

ADM Achieves Recognition for Protein Innovation

ADM (NYSE: ADM) has been ranked 27th on Fortune's 2021 Change the World list, recognizing companies with significant social impact. For over 70 years, ADM has led in protein innovation, creating the first plant-based meat alternative and soy-based patty. As a leader in sustainable food sources, ADM is committed to developing nutritious foods for a growing population. They aim to address the need for diverse protein sources, with the goal of producing 60% more food by 2050 to meet global demands.