Total Produce To Acquire Majority Interest in the Oppenheimer Group
Vancouver, Canada & Dublin, Ireland -
By Jordan Okumura
12.17.12
Total Produce and Oppenheimer are joining together in a strategic partnership. Total Produce has agreed to purchase a majority shareholding in the Oppenheimer Group in a transaction that will be initiated with the acquisition of 35 percent of the full service produce marketer’s shares in January, 2013. Another 30 percent will be acquired in 2017. The transaction will take place in two stages over five years, according to a press release.
The total consideration payable for the 65% shareholding is estimated not to exceed CDN$ 40 million or US$ 40.65 million.
Not only does the acquisition continue the international expansion of Total Produce, but it represents an important entry into the North American market.
“We are delighted by the opportunity to enter this alliance with Total Produce,” said John Anderson, Oppenheimer’s chairman, president and CEO. “This partnership strengthens our ability to grow strategically to the benefit of our growers and customers while continuing to operate autonomously.”
A leading North American fresh produce distribution and marketing company, the Oppenheimer Group sources over 100 varieties of fruits and vegetables from over 25 countries. The company delivers them to retailers, wholesalers and foodservice operators in the U.S. and Canada along with export markets.
Mr. Anderson will continue to lead the organization and will still hold 35 percent of Oppenheimer’s shares after the 2017 transaction. He is currently Oppenheimer’s majority shareholder. The New Zealand-based apple marketer, ENZA, will maintain its 15 percent ownership of David Oppenheimer and Company, The Oppenheimer Group’s U.S. entity. The strategic partnership allows the opportunity to grow the company’s business well beyond North American boundaries, Mr. Anderson notes.
“Total Produce is one of the world’s most well-respected fresh fruit and vegetable marketing and distribution organizations,” he said. “Our business models have exciting similarities which position both companies advantageously on a global scale. For Oppenheimer, this could mean an enhanced focus on exports, as well as new opportunities for our current grower family, and potential new alignments in the future.”
Total Produce is currently Europe’s largest fresh produce provider.
Oppenheimer
Total Produce
