Managing director Michael Iwaniw said the acquisition would be effective from March 20.

It includes two feed mills, a textured feed plant and gives ABB milling capacity in both the north and south islands of NZ.

"When finalised, this acquisition will make ABB the market leader in commercial compound feed manufacturing in New Zealand," he said.

"The purchase of NRM reinforces ABB's strategy of diversifying operations to regions with more reliable climatic conditions."

Mr Iwaniw said NRM currently imports more than 100,000 tonnes of grain each year for processing in its mills.

"We anticipate that, after the purchase of this iconic New Zealand business, a significant tonnage of ABB-sourced Australian wheat, barley and sorghum will be imported for processing in NRM mills," he said.

At the meeting Mr Iwaniw anounced a net profit, after tax, forecast for 2008-09 of $63-$73 million, before a one-off cost of $3.5m associated with merger activity.

He said the forecast reflected below average grain receivals and tough operating conditions.

Mr Iwaniw said ABB had made 'steady progress' building the Outer Harbour deep sea grain terminal.

"On Wednesday January 21 ABB conducted its first 'wet' commissioning of the terminal, in preparation for full commissioning of the terminal by the end of this month," he said.

"Currently the ship loader is taking shape on the nearby wharf and is expected to be completed in April/May.

"The terminal will then be able to proceed to full operation."