TTEN3

Três Tentos Agroindustrial S.A., also known as 3tentos and listed on B3 under the ticker TTEN3, is an agribusiness company with integrated operations in agricultural inputs, grain origination and trading, and soybean processing. The company traces its origins to the Dumoncel family’s farming activities, which began in 1954 with wheat cultivation in the state of Rio Grande do Sul. In 1995, it was incorporated as a limited liability company, a subsidiary of Sinuelo Participações Ltda., headquartered in Santa Bárbara do Sul (RS), initially focused on seed production, the sale of agricultural inputs, and the receipt, storage, and trading of grains. Over the 2000s, Três Tentos expanded its regional footprint with new branches and, in 2011, converted into a corporation (sociedade por ações), preparing for a more structured growth cycle and a higher level of corporate governance. In 2013, it marked its entry into the industrial segment with the start of soybean crushing and biodiesel production operations in Ijuí (RS), consolidating the integrated model connecting the retail of inputs, grains, and industry.

Três Tentos Agroindustrial’s business model is based on a vertically integrated ecosystem that connects the sale of agricultural inputs, the origination of grains, and soybean processing for the production of meal, oil, and biodiesel. The company focuses predominantly on small and mid-sized farmers, offering a set of solutions that includes products, technical assistance, and financial services. The commercial relationship typically begins with the sale of inputs supported by agronomists, agricultural technicians, and researchers, evolving into barter contracts and grain origination after harvest, which can be directed to the domestic market, export, or the company’s own industrial processing. This operational structure is designed to generate logistical and commercial synergies between the segments, allowing the company to arbitrate margins among inputs, grains, and industry, as well as structure hedge transactions linked to agricultural commodities.

The company organizes its operations into three major business segments: Inputs, Grains, and Industry. In the Inputs segment, it operates in the retail of seeds, fertilizers, and crop protection products for crops such as soybeans, corn, wheat, and rice. It has two seed processing units in Santa Bárbara do Sul (RS), a laboratory accredited by the Ministry of Agriculture for seed quality control, and a fertilizer blending unit in Ijuí (RS), through which it sells blends under the Trifértil brand, using NPK macronutrient and sulfur raw materials, partly imported. In the fiscal year ended December 31, 2024, the Inputs segment accounted for 22% of the company’s net revenue, with a gross margin before fair value adjustment of 18.0%, and growing presence in the state of Mato Grosso, which already represented 23% of net revenue in this segment.

In the Grains segment, Três Tentos Agroindustrial is dedicated to the origination and commercialization of soybeans, corn, and wheat, mainly from small and mid-sized farmers. The receipt structure includes scales, classification systems, intake pits, truck tippers, pre-cleaning, drying, and storage in silos with aeration and temperature control, totaling static capacity of about 1.7 million tons. In 2024, grain origination volume exceeded 3.95 million tons. The company can direct soybeans both to its own industrial units and to top-tier global trading companies, and it operates a proprietary fleet of 116 trucks for logistics and transport. In 2024, the Grains segment accounted for 25.4% of consolidated net revenue, with a gross margin before fair value adjustment of 10.5%, reinforcing this link in the chain as a connector between the inputs retail and the industrial segment.

The Industry segment is Três Tentos’ main revenue driver, concentrating more than half of its sales. The company operates three soybean processing industrial plants in the cities of Ijuí and Cruz Alta, in Rio Grande do Sul, and Vera, in Mato Grosso. These units produce soybean meal, used in feed formulations for poultry, swine, and cattle, as well as soybean oil and biodiesel. Installed soybean processing capacity is approximately 7.0 thousand tons per day, while daily biodiesel production capacity is 1,850 m³. The industrial process includes grain preparation, hull removal and classification, flaking, expansion, solvent extraction (hexane), and distillation systems for input recovery, in addition to toasting and degumming steps. Degummed oil is used as feedstock for transesterification and biodiesel production, and can also use animal fats. In 2024, the Industry segment accounted for 52.6% of the company’s net revenue and 51.9% of gross profit before fair value adjustment, underscoring the weight of soybean agroindustry in the results of the company listed on B3 under the code TTEN3.

Geographically, Três Tentos Agroindustrial has built a significant base in Rio Grande do Sul and expanded its presence into Mato Grosso. As of December 31, 2024, the company had 70 commercial units, consisting of 58 stores in Rio Grande do Sul and 12 in Mato Grosso, in addition to three industrial plants, two seed processing units, one fertilizer blending unit, and two research centers. Its logistics infrastructure includes two rail modes with direct access to the Ijuí and Cruz Alta units connected to the Port of Rio Grande, an important route for the export of soybean meal, as well as highway routes such as BR-158, BR-285, and BR-392. In December 2023, the company announced a joint venture with Caramuru S.A. to operate a waterway terminal in Miritituba (PA), focused on the transport of grains and soybean meal through the Northern Arc, with operations expected to start in 2026, expanding its logistics reach to the international market.

In addition to activities directly related to agricultural production and processing, Três Tentos developed a specialized financial arm, Tentos S.A. Crédito, Financiamento e Investimento, known as TentosCap. The institution was incorporated in 2021, with approval from the Central Bank of Brazil to operate as a financial institution focused on credit to rural producers. In 2022, its acquisition by 3tentos was announced and concluded in 2023, bringing it into the company’s ecosystem. TentosCap offers working capital loans, receivables advances, private payroll-deductible loans, personal loans, and, more recently, a credit card with crop-cycle terms, complementing the portfolio of solutions for farmers and contributing to the loyalty of its base of more than 24 thousand active clients.

Três Tentos Agroindustrial’s operations are highly regulated at various points along the chain. In the agricultural field, the company must maintain registrations and authorizations linked to the Ministry of Agriculture, Livestock, and Food Supply (MAPA), the National Health Surveillance Agency (ANVISA), state agriculture agencies, the Regional Councils of Engineering and Agronomy (CREA) and Chemistry (CRQ), in addition to complying with specific legislation for the sale of crop protection products, seeds, and fertilizers. On the environmental front, it is subject to licensing conducted by agencies such as the Henrique Roessler State Environmental Protection Foundation (FEPAM) in Rio Grande do Sul and the Mato Grosso State Department of the Environment, in line with the National Environmental Policy. In biodiesel production, the company is regulated by the National Agency of Petroleum, Natural Gas and Biofuels (ANP), requiring specific authorizations for the operation of its plants and a special registration with the Federal Revenue Service for tax treatment. The company holds the Social Biofuel Seal granted by MAPA, which entails requirements for purchasing feedstock from family farmers and providing technical assistance to this group, integrating relevant social aspects into its supply chain.

From a corporate growth and capital markets perspective, Três Tentos Agroindustrial obtained its publicly held company registration with the CVM in June 2021 and carried out its initial public offering of shares on B3’s Novo Mercado segment in July of the same year, with both primary and secondary offerings. Subsequently, in 2022, it raised capital through an additional public offering, expanding its shareholder base and unlocking trading of TTEN3 shares for all investors, not just qualified investors. In 2023, the company brought forward the achievement of the targets set out in its IPO plan and, in 2024, announced a new growth cycle for the 2024–2030 period, which calls for expansion to 100 stores and four industrial plants, including entry into corn processing with the production of corn ethanol and DDG in the Araguaia Valley (MT), with operations expected to begin in 2026. In May 2024, it also completed a debenture issuance in the amount of approximately R$ 560.7 million, intended to support this new expansion cycle of its agroindustrial platform and services for rural producers.