Foreign owner offloads massive WA cropping farms

Saudi Arabian and institutional investors have reportedly sold almost 80,000ha of cropping farmland in the WA Wheatbelt.

A cumulative figure of almost $200 million was tipped for the 77,954ha Merredin Farms Wheatbelt Portfolio.

Western Australia’s largest farming aggregation is set to be carved up among various buyers, ending a period of foreign and institutional ownership.

The Merredin Farms Wheatbelt Portfolio, which spans a combined 77,954ha, about 380km east of Perth in the Merredin region, has reportedly been sold after hitting the market more than a year ago.

In December 2023 Saudi Agricultural and Livestock Investment Company Australia and Perth-headquartered agricultural investors, PenAgri Farms, announced they were selling the aggregation following a five-year tenure.

At the time offers worth up to $200 million were expected for the aggregation as a whole, which comprised two distinct operating hubs; Warralakin (40,401ha) and Bodallin (37,553ha).

In September last year both the Warralakin and Bodallin aggregations were then relisted individually with “vendor’s instructions to sell in 2024”.

Following the sales campaign the massive aggregation has reportedly been sold between six or more entities including several WA farming interests.

Colliers Agribusiness selling agents declined to comment on the reported sale of the portfolio.

SALIC, PenAgri and Merredin Farms Pty Ltd representatives have been contacted for comment by The Weekly Times.

Next month the Merredin Farms dispersal auction is also scheduled to be held from February 14 to 20 in what may be a record single-vendor broadacre machinery sale.

“Merredin Farms has a significant portion of late-model farming assets that will be sold via public auction, presenting one of Australia’s largest premier agricultural equipment auctions,” the NASCO website said.

More than 600 lots have been listed for the dispersal sale including 29 John Deere tractors, 16 John Deere headers, two Case tractors, plus various other farming equipment such as 110-tonne mother bins and small chasers.

Merredin Farms has been run under SALIC management, cropping about 59,500ha of mostly wheat with some barley and canola. About 66,159ha of the aggregation is considered arable.

SALIC Australia’s portion of the Merredin Farms Wheatbelt Portfolio was once part of the 210,000ha Baladjie Aggregation, sold by the Nicoletti family to SALIC in 2019.

SALIC is owned by the Saudi Arabian government and was established 15 years ago to target agricultural assets for the Middle East nation’s food security.