Business
SunOpta Completes Acquisition of Certain Assets of Baja California Congelados, S.A. de C.V.
SunOpta Completes Acquisition of Certain Assets of Baja California Congelados, S.A. de C.V..
About this update from Sunopta Inc.
[{"type":"text","content":"\n\n\n\nTORONTO, May 4 /CNW/ - SunOpta Inc. (SunOpta or the Company)\n(Nasdaq:STKL) (TSX:SOY) today announced that it has completed the acquisition\nof certain assets of Baja California Congelados, S.A. de C.V. ("BCC"), of\nRosarito, Baja California, Mexico. The purchase price consisted of cash and\nwas paid on closing.\n\n\nBCC is the leading frozen strawberry processor in Baja California,\nMexico. Under the terms of the agreement, SunOpta purchased all of the\nphysical assets of the production facility located in Rosarito and also\nassumed a long-term lease for the facility, located 20 miles south of San\nDiego, California. In addition, SunOpta entered into five year supply\nagreements with Andrew & Williamson Sales Co., ("Andrew Williamson") the San\nDiego-based former parent of BCC. The agreements provide for the supply of\nstrawberries from both the Baja California and Oxnard, California growing\nregions to the Rosarito facility in addition to SunOpta's existing California\nfacilities. As a result, SunOpta expects to add in excess of 20 million pounds\nof strawberries to the Company's integrated supply chain by 2008, resulting in\nannualized revenues of approximately $14 million.\n\n\nAndrew Williamson has agreed to provide operational and customer service\nsupport to assist SunOpta in transitioning the facility under SunOpta\nmanagement.\n\n\nSergio Varela, President of the SunOpta Fruit Group commented, "The\nincremental capacity and raw material supply is critical to meeting the growth\nin demand in the natural and organic fruit market. This transaction is highly\nsynergistic with our existing berry operations and will significantly improve\nour ability to serve fast growing markets."\n\n\nSteve Bromley, President and Chief Executive Officer of SunOpta Inc.\ncommented, "This transaction is consistent with our strategic plan to expand\nour global sourcing and production capabilities in order to meet customer\ndemand and ensure reliable and quality supply of natural and organic fruit\nproducts. We are extremely pleased with this strategic expansion of our\ninternational sourcing and processing capabilities."\n\n\nAbout SunOpta Inc.\n\n\nSunOpta Inc. is an operator of high-growth ethical businesses, focusing\non integrated business models in the natural and organic food, supplemen...