Profile: Alico Inc (ALCO.O)
19 Dec 2013
Alico, Inc. (Alico) is a land management company operating in Central and Southwest Florida. Alico is involved in a variety of agribusiness pursuits, which include citrus production, sugarcane production and cattle ranching. Non-agricultural operations include leasing land for recreational, farming and grazing purposes, royalties from rock mining and real estate activities. The Company operates in two segments: agricultural operations and non agricultural operations. Its wholly owned subsidiary, Alico Land Development, Inc. (ALDI), is responsible for seeking and maintaining appropriate government entitlements. As of September 30, 2011, it owned approximately 139,600 acres of land located in Collier, Glades, Hendry, Lee and Polk Counties. During the fiscal year ended September 30, 2011 (FISCAL 2011), it obtained a Comprehensive Plan Amendment, which allows for construction of up to 1,950 dwelling units and 1.5 million square feet of commercial/retail on the property to support the continued growth of Florida Gulf Coast University. In April 2012, it sold two parcels of land totaling 4,020 acres in Polk County, Florida. In November 2013, 734 Agriculture, LLC and Alico, Inc announced that affiliates of 734 Agriculture completed the acquisition of approximately 50.5% interest in Alico, Inc.
The Company’s wholly owned subsidiary, Bowen Brothers Fruit, LLC (Bowen), provides citrus marketing expertise and manages the delivery of its own citrus crop. Its operations include supply chain management for Alico’s citrus crop, as well as for other Florida growers. Bowen’s operations also include the purchase and resale of citrus fruit. Its Citrus Groves segment cultivates citrus trees to produce citrus for delivery to the citrus markets in the State of Florida. In fiscal 2011, it sold approximately 42.4% of its citrus crop to U.S. Sugar Corporation (USSC). It also has citrus contracts with Florida Orange Marketers, Inc. and Citrusuco. In fiscal 2011, the Company produced 4.1 million and sold 7.1 million boxes of citrus. Its sugarcane crops are grown in Hendry County, Florida. Sugarcane operations consist of cultivating raw sugarcane for sale to a sugar processor.
Alico harvested 6,433 acres of sugarcane during fiscal 2011. In fiscal 2011, it produced and sold 205,421 net standard tons of sugarcane. In fiscal 2011, the Company sold 100% of its sugarcane to USSC. Alico’s Cattle operation is engaged primarily in the production of beef cattle. It is located in Hendry and Collier Counties, Florida. In fiscal 2011, its breeding herd consisted of approximately 8,476 cows and bulls. The Company sells its calves to feed yards and yearling grazing operations in the United States. It also sells cattle through local livestock auction markets and to contract cattle buyers in the United States. Alico is also engaged in the sale of native sod, plants and trees for landscaping purposes.
Non Agricultural Operations
The Company’s Real Estate segment is operated by ALDI is engaged in the planning and strategic positioning of all Alico land. ALDI is engaged in subdivision development and sale of real estate. It lease land to others on a tenant-at-will basis, for grazing, farming, oil exploration and recreational uses. As of September 30, 2011, it owned and leased a 526 acres rock, sand and aggregate mine in Glades County, Florida. Materials mined from this site are suitable for road and other construction uses.
10070 Daniels Interstate Court
FORT MYERS FL 33913