Del Monte Fresh Produce Announces Acquisition of Mann Packing Co., Inc. For $361 Million
SALINAS, CA and CORAL GABLES, FL - Two leaders in fresh produce are coming together with Del Monte Fresh Produce N.A.'s announcement that the company has entered into a definitive agreement to acquire Mann Packing. Del Monte will acquire Mann Packing for an aggregate consideration of approximately $361 million. Mann Packing's annual sales were approximately $535 million in 2017. The agreement was reached on February 5, 2018, bringing the innovative leading grower, processor, and supplier of a broad variety of fresh and value-added vegetable products together with the Fresh Del Monte team.
"Everyone at Mann is excited with this development," Lorri Koster, Chairman and CEO of Mann Packing. "We share Del Monte's values and commitment of providing fresh, high-quality produce-based foods that are nutritious and delicious. Both our companies have been successful in their own right with their superior quality, service, and value to our customers and consumers in all channels throughout North America. This will only be enhanced by combining the business expertise and skills of two of the industry's premiere organizations."
The Fresh Del Monte and Mann Packing transaction is subject to regulatory approvals and additional conditions and is expected to close during the first quarter of 2018, according to a press release.
"We are extremely pleased about our acquisition of Mann Packing, a leader in the fresh and value-added vegetable category," said Mohammad Abu-Ghazaleh, Chairman and Chief Executive Officer of Fresh Del Monte. "Mann Packing's strength in the vegetable category, one of the fastest growing fresh food segments, will provide us with synergies, enhancing our ability to better serve our combined customers and address consumers' needs for healthier products. This acquisition is a significant step toward our goal to be the world's leading supplier of healthful, wholesome, and nutritious fresh and prepared food and beverages for consumers."
In addition to the regulatory process for the transaction, the companies will also be working internally toward integrating Mann Packing into Fresh Del Monte's operation.
"Moving forward, Mann Packing will become a division of Fresh Del Monte, and Lorri, and I will become a part of the transition team as we look to bring our company into the fold," Gina Nucci, Director of Corporate Marketing, Mann Packing, shares with me. "The day-to-day operations will remain business as usual. As a 600 million dollar company, Del Monte is purchasing us not only for our assets and operations, but for our expertise and talent as well."
Long term, Gina tells me that changes will be made within the company structure as a part of the transition process and that Mann Packing and Fresh Del Monte are taking it one day at a time.
"Lorri and I will both be staying on with the company in a changing capacity yet to be announced and are excited for this next phase of growth. This sale was strategic. With Fresh Del Monte's history in fresh produce, they already speak the same language and also have those deep roots and relationships here in the Salinas Valley that will allow our companies to align," she says. "Their team knows the growing, the harvesting, and the fresh processing aspects of our region, and are committed to the same standards of food safety, quality, and customer service that we are."
As part of that transition team, Gina and Lorri will ensure that the changes moving forward are implemented efficiently and smoothly to prime this exciting new acquisition for growth.
Congratulations to Fresh Del Monte and Mann Packing on this recent news! We are excited to see what these powerhouse companies will bring to the future of our fresh produce industry.