Wingara Ag Limited (ASX: WNR) Profile by Gordon Capital | Investing in assets in the export food chain
April 15, 2019
Wingara Ag is building an end-to-end export-oriented agricultural infrastructure platform capable of scaling industrial processing and marketing capacity within the food supply chain.
The platform is service oriented around export focused capabilities and strategic assets which are high barriers to entry. The company is and will continue to invest in strategic logistics and processing assets in the supply chain to provide greater control over the quality and movement of products.
Wingara’s model provides great leverage to the rising demand from Asia for protein and high-quality agricultural produce whilst mitigating weather risk and earnings volatility which are traditional features of agricultural investment.
The model is based on a multi-product strategy and geographic supply diversification which will be further developed as the company pursues additional investment opportunities.The acquisition of Austco Polar Cold Storage in April 2018 and commissioning of a new greenfield fodder processing plant in January 2019 were transformative and provided the scale which has enabled the company to breakthrough to sustainable profitability.
Strong growth is anticipated over the next few years as the company realises efficiency gains, increases storage and processing capacity and further diversifies its infrastructure asset base.