November 24, 2020

MaxYield Announces $6 Million Preferred Stock Offering

MaxYield Fostoria

MaxYield’s Preferred Stock Offering provides a 5% annual return to investors and allows the cooperative to accelerate facility upgrades.

MaxYield Cooperative announced recently the sale of $6 million in preferred stock that pays an annual 5% dividend.

“We’re excited about this opportunity, because it is a win for our clients, our communities and MaxYield,” said Bob Burkhardt, chief financial officer.

Preferred Stock Offering Details

 The par value of the shares is $1 and there’s a minimum purchase of 1,000 shares and a maximum purchase of 150,000 shares. The preferred stock will pay an annual dividend of 5%.

Burkhardt stressed that investors need not be a member of MaxYield to participate, however, any individual or corporation purchasing shares must be 18 years old and a resident of Iowa.

He went on to say that, “The preferred stock offering will accelerate MaxYield’s facility upgrades which will allow asset upgrades faster.”

Investing in rural Iowa

While this is the first time MaxYield has offered preferred stock to the general public, it’s not the first time the cooperative has issued preferred stock. This financing strategy worked well in 2003 in a business transaction with Agri-Industries, and again a few years later when MaxYield acquired AGP’s assets in the cooperative’s East Region, Burkhardt said.

A number of major ag corporations and cooperatives also issue preferred stock, including CHS Inc., Land O’Lakes, and CoBank, added Burkhardt, who noted that MaxYield will be sharing more information about the preferred stock offering at meetings scheduled the week of March 11th.

“Not only will this stock offering will improve MaxYield’s balance sheet and the company’s leverage, but it will give investors a solid rate of return while allowing MaxYield to invest in local communities.”

Answering questions

The cooperative said more information is available about the stock offering online at www.MaxYieldCooperative.com/preferredstock.

They will also be hosting a series of information meetings that are open to the public. The meetings include:

Mon, March 11: 7:00 p.m. @ Emmetsburg Wild Rose Casino, (Hwy 18 East)

Tues, March 12: 1:00 p.m. @ Spencer, Clay County Regional Events Ctr., (800 W. 18th Street)

Tues. March 12: 7:00 p.m. @ West Bend Park View Inn, (13 4th St NE)

Thurs, March 14: 1:00 p.m. @ Belmond City Hall, (112 2nd Ave NE)

Thurs, March 14: 7:00 p.m. @ Britt City Hall, (170 Main Ave)

Friday, March 15: 1:00 p.m. @ Algona Knights of Columbus Hall, (1501 East Walnut)

MaxYield Cooperative was founded in 1915 and has locations in 18 Iowa locations and one in Riga, MI. More information about the cooperative can be accessed at www.MaxYieldCooperative.com or www.FromTheField.com.

 

This is not an offer to sell or a solicitation of any offer to buy Class A preferred stock issued by MaxYield Cooperative.   Offers are made only by disclosure statement and other offering materials. No commission or other compensation is being paid to brokers or sales agents related to this offering.   

Share Your Thoughts

*