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Ultrajaya produces UJ branded UHT milk, teas and health drinks at two factories in Indonesia.
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The contract manufacturer pointed to an “exciting pipeline of new business we’re developing”.
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Kryddhuset makes spices, spice blends, flavour solutions and ingredient products for the food industry, including retailers.
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The UK’s largest grocer is the “anchor investor” in a fund set up by Leon founder Henry Dimbleby.
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The Canadian group said the new division will focus on expanding its ingredients platform, including "higher-value" components.
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COO Dana McNabb said consumers are increasingly using AI to generate grocery lists as e-commerce growth accelerates.
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Alongside the transaction, the two companies entered into a “long-term” supply agreement.
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The Unite union said delivery drivers still have to vote on the Hovis offer.
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