US: Dole nears sale of JP Fresh

By just-food.com | 24 September 2008

US produce company Dole Foods is nearing completion of the sale of JP Fresh in the UK and its ripening and distribution business in France.

The company has signed a definitive purchase and sale agreement with Compagnie Financiere de Participations, a company in which Dole holds a non-controlling 40% stake.

The deal is expected to close in the fourth quarter of this year.

Dole also said that it expects the sale of its flowers division to close in the fourth quarter of 2008. These asset sales, coupled with the sale of additional agricultural acreage in California, Hawaii and Mexico for approximately US$145m, will bring total asset sales to $277m.

The cash proceeds of these transactions will be used to pay down Dole's senior secured credit facilities.

"Dole is pleased to be moving forward with these asset sale transactions, continuing to execute on our previously-announced plan to sell assets to reduce our debt," said David DeLorenzo, president and CEO of Dole.

Sectors: Fresh produce

Companies: Dole