Business
SunOpta Expands Supply and Strategic Exclusive Agreements in South America
SunOpta Expands Supply and Strategic Exclusive Agreements in South America.
About this update from Sunopta Inc.
[{"type":"text","content":"\n\n\n\nTORONTO, March 27 /CNW/ - SunOpta Inc. (SunOpta or the Company)\n(Nasdaq:STKL) (TSX:SOY) today announced that the SunOpta Fruit Group has\nexpanded strategic relationships in Argentina and Chile and has entered into\nexclusive agreements to expand supply of key fruit products from these\nregions.\n\n\nThe Company stated that it has entered into strategic exclusive\nagreements with reputable local fruit industry leaders to develop supply\nopportunities in the organic and natural frozen fruit industry. The agreements\nincrease SunOpta's supply of natural and organic strawberries, raspberries and\nblueberries, apple and pear purees and fruit and vegetable concentrates from\nan important supply region.\n\n\nThe Company entered into a five year exclusive supply agreement with\nBaby's Best Infant Food Ingredients S.A., a producer of organic and natural\npurees and concentrates in Mendoza, Argentina. The agreement ensures SunOpta\nof a constant and growing source of critical commodities. Under the terms of\nthe agreement, SunOpta will provide a line of credit to enable Baby's Best to\nacquire a 45,000 square foot production facility in Mendoza to ensure\nSunOpta's supply chain. In addition, SunOpta received a first right of refusal\nand an option to acquire all of the outstanding shares of Baby's Best and\nrelated companies based on a predetermined formula, exercisable in March 2009.\n\n\nThe Company has also entered into a three year exclusive organic supply\nagreement with a leading processor of organic and natural frozen fruits in\nChile. Under the terms of the agreement SunOpta will finance a capital\nexpansion to further develop growth in critical organic supply over the next\nthree years.\n\n\nSteve Bromley, President and Chief Executive Officer of SunOpta commented\nthat "We have had an excellent relationship with these companies over the past\nnumber of years and are delighted to expand these relationships to ensure our\ncustomers of a high quality, reliable and growing source of key organic\nproducts. These transactions reflect our strategy of extending our\ninternational sourcing capabilities for products that are in short supply\nglobally."\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, supp...