Farm Supply Company and Grange Cooperative Announce Proposed Merger

SAN LUIS OBISPO, Calif.--(BUSINESS WIRE)--Farm Supply Company and Grange Cooperative Supply Association (“Grange Co-op”) today announced Board approval of a proposed Agreement and Plan of Merger, representing a significant step toward uniting two long-standing agricultural cooperatives serving farmers, ranchers, and rural communities across California and Oregon.

The Farm Supply Company Board of Directors unanimously recommended the merger, citing meaningful long-term benefits including enhanced scale, expanded product offerings, and strengthened operational capabilities. The combined cooperative is expected to improve procurement efficiency, increase geographic reach, and reduce exposure to regional market and weather-related volatility through greater diversification.

“With the benefit of added scale and stability, this will be a bold new chapter for Farm Supply which will ensure longevity and sustainability,” said Michael Mendes, CEO of Farm Supply Company. “It will also be a financially positive transaction from day one.”

A key advantage of the proposed merger is increased purchasing power. By combining procurement volumes, the organization is expected to secure more competitive pricing, improve product availability, and strengthen supplier relationships. Members will benefit from improved cost efficiencies, greater supply reliability, and access to expanded product lines. Additionally, Grange Co-op’s vertically integrated feed operations and manufacturing capabilities will strengthen Farm Supply in the feed category, which currently represents more than 20% of sales.

Farm Supply Company stores will continue to operate under the Farm Supply Company banner, leveraging the brand equity built in the community over the past 76 years. The Grange Co-op includes eight retail stores, with six located in Oregon and two in Northern California. Grange Co-op employs over 330 associates and operates a feed mill and a central distribution facility in Oregon. The new combined company will consist of 13 retail stores, with seven in California and six in Oregon, with approximately 450 employees.

Jim Brabeck, former CEO of Farm Supply and current Board member, sees this merger as an excellent opportunity to strengthen both cooperatives. “We share the same high ethical standards and are well known for exceptional customer service to our customers, shareholders and the communities we serve. It is a critical next step in the evolution of Farm Supply and its treasured role in our agricultural community,” said Brabeck.

If approved, the merged cooperative will operate under a unified governance structure designed to support growth while preserving the cooperative, member-owned model. Farm Supply Company is providing shareholders with detailed information and ballots today. Pending member approval, the merger is targeted to become effective October 1st, 2026.

About Farm Supply Company

Established in 1950, Farm Supply Company serves the farm, home, and ranch needs of California’s Central Coast. With locations in Paso Robles, San Luis Obispo, Arroyo Grande, Santa Maria, and Buellton, the company offers a wide range of products, including irrigation, pet supplies, equine, livestock, lawn and garden.

For more information, visit FarmSupplyCompany.com

About Grange Co-op

Founded in 1934, Grange Co-op is a cooperative dedicated to serving the needs of its members and the communities in which they live. With a focus on farm and ranch products, work wear and western wear, garden supplies, and pet care essentials, Grange Co-op has grown to become a trusted name in the industry. The company operates multiple retail locations, a feed mill and remains committed to delivering exceptional value and service.

For more about Grange Co-op visit Grangecoop.com