Meal Kit Company Purple Carrot Acquired by Japanese Company Oisix
BOSTON, MA - U.S. plant-based meal kit company Purple Carrot has just announced its acquisition by Japan’s largest meal kit and organic food delivery company Oisix ra daichi Inc. (Oisix). Combining Purple Carrot’s U.S. presence and Oisix’s platform and access to a network of thousands of farmers sets the now-merged companies up for explosive growth—an expected $9 billion in the global market by 2025. Purple Carrot’s corporate headquarters will stay in Massachusetts, and the entire executive leadership team will continue with their roles in the company.
“I’m so proud of the rapid growth that Purple Carrot has achieved over the past five years. It’s now a great opportunity to join Oisix, positioning Purple Carrot for continued domestic and future global growth with a highly authentic partner in the wellness category,” said Andy Levitt, Purple Carrot’s Founder & CEO. “By partnering with this Japanese powerhouse, we’ll bring Purple Carrot plant-based meals to even more consumers and significantly increase the positive impact of our business well into the future. We look forward to working with Oisix to continue the momentum and authenticity of the brand we’ve created.”
The deal will include an upfront payment of $12.8 million, with an earn-out potential of an additional $17.2 million through 2021, for a total deal value of up to $30 million, according to the Associated Press.
This historic acquisition is the first global alliance between two health-centric companies in Asia and the United States. The merging of companies allows both to better utilize plant-based trends and their own expertise to gain a significant market share.
Purple Carrot launched in October 2014 and the company follows the typical meal kit model, but with a plant-based twist. Consumers receive fresh, pre-portioned ingredients paired with step-by-step guidance to create distinctive and healthy meals at home. Though based in Needham, MA, the company has distribution centers in New Jersey, Chicago, and Las Vegas.
Founded in June 2000, Oisix has generated approximately $580 million in revenue with 4.9 percent EBITDA margin for the year ended March 2019. The Japanese company operates seven distribution centers throughout the country and has a network of 4,000 farmers working to provide consumers with fresh produce.
“Since our inception 18 years ago, our focus has been to provide convenient access to delicious and healthy food that delights our customers. We have been looking for the right opportunity to expand our reach and capabilities, and are thrilled to be joining forces with Purple Carrot,” said Kohey Takashima, Founder & CEO of Oisix. “The core values of the two companies are very closely aligned. Furthermore, this acquisition gives us the chance to make a global impact. At the same time, it represents an exciting step in our growth trajectory to expand our operations and bring the first plant-based meal kits to Japan.”
How will this global partnership change the world of meal kits? Are the now-merged companies poised for dominance? AndNowUKnow will keep reporting.