SOJA3

Boa Safra Sementes S.A. is a Brazilian company specialized in the production, processing, and commercialization of seeds, with a primary focus on soybeans. Founded in 2009 by Marino Colpo and Camila Colpo, the company emerged from the founders’ family experience in grain cultivation in the Center-West region. Over the years, Boa Safra has invested in professionalization, governance, and capacity expansion, migrating from a simpler corporate structure to a national-scale operation. In 2020, the company was converted into a corporation (sociedade anônima) and obtained registration as a category “A” publicly held company, completing its initial public offering of common shares in 2021 and having its shares listed on B3, in the Novo Mercado segment, under the ticker SOJA3.

Boa Safra Sementes’ business model is centered on the certified seed chain, especially soybeans, but it also operates in corn, beans, wheat, sorghum, and forage crops. The company acquires parent seeds from genetic companies that develop cultivars with genetic improvements and hold the intellectual property rights over these varieties. These parent seeds are passed on to approximately 500 integrated producers, who carry out cultivation and multiplication. After harvest, Boa Safra purchases the production that meets its quality criteria, processes and treats the seeds at its Seed Processing Units (UBS), and may apply different levels of Industrial Seed Treatment (TSI) before storage in cold chambers and subsequent sale to resellers and farmers.

The company’s main activity is concentrated in the soybean segment, which includes primarily soybean seeds and, to a lesser extent, soybeans as grains. In 2024, this segment accounted for around 95% of net operating revenue, a proportion similar to that observed in 2023 and 2022, highlighting the economic predominance of soybean cultivation in the company’s portfolio. Boa Safra also provides tolling services, processing seeds for third parties, as well as operating in a segment classified as “other,” which involves crop protection products and seeds of other crops. The company has consolidated a relevant position in the Brazilian soybean seed market, with an estimated market share of around 8% in 2024, based on CONAB data on planted area and excluding saved seeds.

Production and logistics infrastructure is a core component of Boa Safra Sementes’ operations. The company has UBS units in Formosa and Cabeceiras (Goiás), Buritis (Minas Gerais), Primavera do Leste (Mato Grosso), and Jaborandi (Bahia), in addition to two Bestway Seeds processing units in Uberlândia (Minas Gerais), in which it holds a significant stake. These units are equipped with refrigerated warehouses totaling more than 120,000 square meters of cold chambers, operating with strict temperature and humidity control to preserve seed viability and germination rates. Complementarily, Boa Safra maintains distribution centers in Sorriso, Campo Novo do Parecis and Ribeirão Cascalheira (Mato Grosso), Paraíso (Tocantins), and Balsas (Maranhão), located close to major grain-producing hubs, with the goal of optimizing logistics and delivery times.

Boa Safra’s products are differentiated not only by the genetic base acquired from specialized companies, but also by the industrial treatments applied to the seeds. The company offers three TSI categories: Boa Safra Básico, which adds fungicide, insecticide, polymer, and drying powder, with the optional use of inoculant; Boa Safra Top, which adds components such as root enhancer, nutrition, and inoculant, increasing the number of components and the level of protection; and Boa Safra Premium, which includes, in addition to all the inputs in Top, a biological bionematicide crop protection product aimed at controlling nematodes in soybean roots. The expansion of the volume of industrially treated seeds has been an important growth driver, with a significant increase in the number of treated big bags between 2018 and 2024.

The company operates in all the main grain-producing regions of Brazil, with a consolidated presence in the Center-West, Southeast, South, North, and Northeast. Its own assets are concentrated in six states – Goiás, Bahia, Mato Grosso, Tocantins, Maranhão, and Minas Gerais – and are complemented by lease and full tolling operations in strategic areas, such as Água Fria de Goiás and developing regions in Paraná. The expansion strategy includes increasing soybean and corn seed production capacity, strengthening the distribution network, and entering new crops and commercial channels, as evidenced by the acquisition of a stake in Bestway Seeds, the conversion of debentures into equity in DaSoja, in Palmas (Tocantins), and the creation of Avra Sementes, operating in Mato Grosso, Tocantins, Goiás, and Minas Gerais.

The customer base is diversified, with no material revenue concentration in a single buyer, which reduces dependence on large specific groups. Boa Safra serves agricultural retailers and farmers, offering seeds and industrial treatment services tailored to different soil and climate conditions. The relationship with around 500 integrated producers is a structural part of the business model, enabling geographic diversification of production and mitigation of climate risks, since the farms are located within a radius of up to approximately 300 kilometers from the UBS units. The company provides technical support for crop development in these integrated areas, applying strict quality criteria before purchasing seed lots for commercialization.

Seed production and commercialization is a highly regulated activity in Brazil, which directly affects Boa Safra Sementes’ operations. The company is subject to the National System of Seeds and Seedlings, established by Law No. 10,711/2003 and regulated by Decree No. 10,586/2020, which requires registration with the National Registry of Seeds and Seedlings (RENASEM) for activities such as production, processing, storage, and trade of seeds. The Ministry of Agriculture and Livestock is the body responsible for coordinating and supervising activities at the federal level, while states and the Federal District may establish complementary regulations. The company is also subject to requirements from professional councils such as CREA, which demand corporate registration and the presence of agronomists or forestry engineers as technical managers, in addition to compliance with environmental rules involving licensing by the competent authorities, registration of potentially polluting activities, and preparation of waste management plans.

In the financial and governance sphere, Boa Safra Sementes uses capital market instruments and investment structures to finance its growth and asset management. The ticker SOJA3 represents common shares traded on B3, and the company also engages with the market through agribusiness receivables certificates (CRA) and an agribusiness chain investment fund (FIAGRO), the Suno Agro FII – SNAG11, listed on B3. The company holds a stake in this fund and carries out transactions such as assignment of receivables and leasing of real estate assets for processing units and refrigerated warehouses, using this structure as a source of long-term financing for its physical and operational expansion. In addition, joint ventures such as SBS Green Seeds, focused on the production of forage seed mixes and regenerative agriculture, indicate a move toward diversification and alignment with sustainability trends in Brazilian agribusiness.