A proposed $150-million acquisition in Canada’s grain sector will move ahead only after the sale of a Saskatchewan grain elevator, following intervention by the Competition Bureau.

The federal regulator has reached an agreement with Parrish & Heimbecker regarding its planned purchase of GrainsConnect Canada Operations. The bureau concluded the transaction could reduce competition for wheat purchases in the area surrounding Reford, Sask., where both companies have grain handling operations.

Under the agreement, Parrish & Heimbecker must sell GrainsConnect’s grain elevator business in Reford to a buyer approved by the Commissioner of Competition. The bureau said the measure is intended to preserve competition among grain buyers and maintain marketing options for farmers in the region.

The acquisition, announced in late 2025 and valued at approximately $150 million, includes four grain elevators located in Saskatchewan and Alberta as well as a stake in the Fraser Grain Terminal in British Columbia.

Competition Bureau officials determined that combining the companies’ operations would likely lessen competition for wheat purchases from producers near Reford. Grain elevators serve as key delivery points where farmers sell harvested grain, and competition among elevator operators can influence pricing and marketing opportunities.

Parrish & Heimbecker has agreed to the sale requirement but has maintained that it does not share the bureau’s assessment of competition in the area. The company said the agreement provides a way to complete the broader transaction without prolonged regulatory proceedings.

Until the Reford facility is sold, the company must continue operating the elevator normally. The agreement has been registered with the Competition Tribunal, giving it the force of a court order.

The case is the latest example of regulatory scrutiny of consolidation in Canada’s grain handling sector, where industry mergers can affect the number of buyers available to farmers in local markets.