Fresh produce supplier Total Produce has acquired a 65% stake in US group Progressive Produce.
The California-based Progressive Produce is a grower, packer and distributor of conventional and organic produce to the retail, wholesale and foodservice sectors in the US and Canada. It has distribution facilities in California and Washington.
The transaction value was not disclosed. The purchase consideration will be satisfied by an initial payment on closing. A further payment will be made in 2019 contingent on the achievement of future profit targets.
“We are delighted to become co-owners in Progressive Produce. This transaction with a leading California produce company further broadens our US operations and is in line with our strategy. We look forward to working with the excellent people in Progressive Produce as it continues to develop its very successful business expansion in future years,” said Carl McCann, chairman of Total Produce.
Progressive Produce president Jim Leimkuhler and two vice presidents – Victor Rodarte and Jack Gyben – will remain as equity holders of the business.
Leimkuhler said: “We are very pleased and excited to join with Total Produce. This transaction will further strengthen the business we have developed and grown over many years. We believe this is an excellent long-term combination of skills and expertise that will benefit all stakeholders, including our growers, our suppliers, our people and our customers.”
