The federal government is privatizing the Canadian Wheat Board with a sale to a Saudi-owned company.

G3 Global Grain Group will get 50.1 per cent of the company in exchange for an investment of $250 million. The other 49.9 per cent will be kept in trust for farmers who deliver grain to the board.

Any farmer who does deliver will get $5 per tonne in equity in the organization. In seven years, G3 Global Grain Group has the option to buy back the shares from farmers at market value.