18 November 2009 - The Australian branch of Penford Corporation, Penford Australia Pty, has sold its Tamworth, New South Wales, food ingredient plant to Grain Products Australia Proprietary Limited, which has committed itself to investing in the facility.
The Tamworth plant manufactures wheat gluten, wheat starch, caramel colour and dextrin.
"Agreements for sale of the remaining Australian operations have been executed and transaction closings are scheduled to occur in the next several weeks. The completion and timing of these transactions remain subject to risks and uncertainties", Penford Corporation said in a statement.
The move follows the sale of Penford's New Zealand operations to a local private investment company, which took place in September 2009.
"Cost reduction programs and the expected divestiture of the Australian/New Zealand segment have positioned the Company to better withstand fluctuating economic conditions and develop volume growth", added Penford.
Penford Corporation develops, manufactures and markets specialty, natural-based ingredient systems for industrial and food ingredient applications, including fuel ethanol. Penford has nine manufacturing and/or research locations in the United States, Australia and New Zealand.