Total Produce agrees stake in Canadian firm
Total Produce is to buy a stake in Canada's Grandview Ventures Ltd in a deal worth up to €32 million.
The company said today it would make the acquisition in two stages, taking a 35 per cent shareholding in the firm in January for a cash payment of €11.7 million, and a further 30 per cent stake in 2017 will be bought, with the price depending on future profits.
Grandview Ventures trades as the Oppenheimer Group, a leading provider of fresh produce to retail, wholesale and foodservice customers throughout the United States and Canada. It recorded sales of CDN$525 million (€410 million) last year, with operating profits of $11 million (€8.6 million).
The acquisition marks an important entry into the North American market for Total Produce, which has been expanding its overseas operations recently.
When the deal is implemented, Oppenheimer's current chairman, president and CEO John Anderson will continue to manage the group, as will his existing team.
Total Produce chairman Carl McCann said the deal offered his firm a "significant growth opportunity".