T&G Global Limited ("T&G" or the "Company") announced it is in discussions to sell its New Zealand fresh produce business to the Turner family and its Fijian and Pacific businesses to Bidfood. Any transaction remains subject to finalisation of sale and purchase agreements and meeting certain conditions.
The proposed sale of the New Zealand fresh produce business includes T&G Fresh tomato, berry, citrus, and stone fruit growing operations, the wholesale market network, and export, prepacking, and transport activities. The Turner family is expected to lease from T&G the properties used by the growing units. The proposed sale to Bidfood includes T&G's Fijian business and T&G Fresh's Pacific Island Exports business.
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T&G Chair Benedikt Mangold said the decision follows a strategic review, with the Company planning to divest these businesses to focus on its premium, intellectual property-led Apples and VentureFruit platforms.
"Over the last 12 months, the Board has conducted a comprehensive review to evaluate T&G's long-term strategy and growth options," said Mr Mangold.
"We assessed each of our Apples, T&G Fresh, and VentureFruit business units against our growth profile, capital intensity, reliance on intellectual property, and contribution to long-term shareholder value."
"This confirmed the attractiveness, scalability, and resilience of our Apples and VentureFruit strategies, with intellectual property at the foundation of their competitive advantage. The apple's business has been T&G's key growth pillar for many years, and both businesses are strategically placed to capture growing market share in the premium apple category, which we estimate to be worth USD $19 billion by 2030."
"At the same time, the review confirmed that certain businesses within T&G Fresh have different characteristics. While they're operationally strong and well-managed, these businesses are more mature and less reliant on scalable intellectual property advantage than T&G's targeted growth platforms."
"The Board has agreed that long-term capital allocation and management focus should prioritise the Apples and VentureFruit platforms in support of global growth opportunities, and that alternative ownership options be explored for T&G Fresh."
T&G received financial advice and support from Craigs Investment Partners, which will continue to provide financial and strategic advice.
T&G Chief Executive Gareth Edgecombe said, "Both proposed owners have deep sector expertise, strong belief in the underlying businesses, and long-term strategic intent to invest and grow the operations."
"The sale will see the Turners & Growers legacy protected, with the business returning to Turner family ownership, and the sale of our Fijian and Pacific Island Export businesses to Bidfood aligns with their global foodservice network."
"The proposed divestments will allow T&G to maximise growth and shareholder value through our global Apples and VentureFruit platforms."
© T&G GlobalFor more information:
T&G Global
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