Origin Agritech Bags $35M Order For Hybrid Corn

Origin Agritech Ltd SEED has received an order for its hybrid corn worth RMB240 million, or about $35 million, from Muyuan Foods.
Muyuan Foods, a hog farming company, purchases over 50 million metric tons of corn feedstock annually.
The initial order is part of a 100 million metric ton purchase agreement signed for the next 5 years.
The companies have agreed to collaborate to grow Origin's Nutritionally Enhanced Corn (NEC) on contract, beginning in the 2023 growing season.
At present, Muyuan is contract growing about 3 million mu, or roughly 494,000 acres of farmland to plant hybrid corn and other feed crops in China.
Price Action: SEED shares are trading higher by 3.17% at $10.40 on the last check Wednesday.