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Farmer-owned co-operative Ravensdown is winding down the operations of its agritech subsidiary C-Dax following a long decline in sales.
From March 14, C-Dax stopped recruiting new customers. A managed sale of assets including plant, stock, land and buildings is underway.
C-Dax chief executive Tim Brown confirmed to Rural News that they are in the process of winding down C-Dax operations.
“The business has closed for new customers and we are implementing a managed sale of assets including plant, stock, land and buildings,” Brown says.
“As part of the wind down process, we are looking for suitable parties to support ongoing maintenance of C-Dax equipment.
“The decision to wind down follows a sustained period of declining product sales in New Zealand and overseas.”
C-Dax has been supplying spreading, spraying and pasture meter products for over 30 years.
Some of its best-known products include the C-Dax Pasture Meter which has won several innovation awards and the C-Dax SprayRider which became the gold standard for on-board ATV sprayers.
However, similar products from competitors, sold at competitive prices proved fatal for the compnay.
In a message on its website, the company says significant market changes in recent years have impacted C-Dax’s ongoing profitability.
“Over the last few years there have been several new entrants into the market providing equipment of equal quality at competitive prices, including imported products.
“The decision to wind down was not taken lightly and was only pursued after exploring several options, including lowering the cost base of the business and modernising the brand and product portfolio. We also looked to sell all or parts of the business to other entities but did not attract offers that were in the best interest of customers, shareholders and employees.”
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