ADM acquires new river harbors

By | March 01, 2006
The American River Transportation Company (ARTCO), a wholly owned subsidiary of Archer Daniels Midland Co. (ADM), has acquired Garvey Marine Inc., in order to improve barge shipments of grain and possibly ethanol on the Illinois River.

Garvey Marine owned 17 harbor boats, a construction division and six harbors, all located in Lemont, Channahon, Morris, Seneca, Ottawa and Pekin, Ill. The construction division in Pekin offers construction services primarily on the Illinois River. "The operations of ARTCO and Garvey are complementary, and the acquisition will create synergies to better serve customers located along the Illinois River system," Royce Wilken, ARTCO president, said in a prepared release. The purchase of the marine company will help ARTCO and ADM gain a stronger hold on existing waterway systems, including two existing ADM grain elevators in Morris.

Garvey Marine has grown since Bob White, CEO of Garvey International, took over in 1983 through numerous acquisitions over several years. The company had become the largest independent provider on the Illinois River. With the acquisition of Garvey Marine, ARTCO will operate 12 harbor services along the Midwest waterway that will provide services such as moving barges back and forth around different docks for storage, and for loading and unloading services. It will also own and operate over 2,100 barges, 30 tow boats and 29 line boats. "Barge operation is not going to go away," said Karla Miller, vice president of public relations for ADM. "So it made perfect sense, and it will add depth to our service." The addition of Garvey Marine will also help create better ways to take care of ADM customers located along the waterfront, Miller added.
-Staff Report