Seeka Kiwifruit Industries has announced that Japanese produce logistics company Fresh MD Holdings has agreed to acquire an 18.8 per cent stake in the New Zealand-based producer group.
According to Seeka, the move represents a vote of confidence in its business model and is a positive step for both the group and the country's kiwifruit industry generally.
'Fresh MD Holdings operates major logistics, ripening and fruit processing operations in Japan and is a significant handler of New Zealand kiwifruit,' said Seeka chief executive Michael Franks. 'The association with Fresh MD Holdings strengthens our link with the important and valuable Japanese market.'
Fresh MD Holdings, which counts fresh produce giant Dole amongst its major shareholders, has agreed to pay NZ$3.60 per share for a total of 2.363m shares, according to Seeka.
The total purchase price is NZ$8.5m, with the shares to be purchased from Seeka director Chris Morton.
'Fresh MD Holdings are enthusiastic about their shareholding, and see opportunities for both companies to deliver operational synergies,' Mr Franks added. 'This is an exciting opportunity for Seeka.'
