Total Produce buys majority stake in US firm Progressive Produce
Firm says 65% stake in business will broaden Total’s US operations
Photograph: John Taggart/Bloomberg
Progressive Produce, which currently employs 214 people, had sales of more than $200 million in 2015. The company is a grower, packer and distributor of conventional and organic produce, supplying potatoes, onions, asparagus, organics and other fresh fruits and vegetables from four distribution facilities in California and Washington.
In a statement to the stock exchange, Total Produce said there would be an initial payment on closing the sale, with a further payment to be made in 2019 if future profit targets are met.
“This transaction with a leading California produce company further broadens our US operations and is in line with our strategy,” said Total Produce chairman Carl McCann.
Progressive Produce president Jim Leimkuhler will continue to hold an equity stake, along with vice presidents Victor Rodarte and Jack Gyben. Total said the trio would also continue to be key members of the executive management team.
Me Leimkuhler said the firm was “pleased and excited” to join with Total Produce.
“This transaction will further strengthen the business we have developed and grown over many years. We believe this is an excellent long-term combination of skills and expertise that will benefit all stakeholders, including our growers, our suppliers, our people and our customers.”