Vale of Evesham-based fresh produce marketer Planet Produce has been acquired by Provenance Partners.
Planet Produce has written to customers and suppliers to inform them of the deal, stressing the move is a positive development that will lead to growth.
Managing director Nick Smith wrote: “I am writing to inform you that Provenance Partners have purchased 100 per cent of the shares in Planet Produce. We believe this deal creates exciting possibilities for future growth given the synergies between the two companies.”
Smith stressed there would be no change in the day-to-day management of the business, with the existing management team remaining in place.
“We are very excited about the future and look forward to building our business with you further,” Smith told suppliers.
A Provenance Partners spokesman confirmed to FPJ that the deal was finalised at the end of April and that the Planet Produce name will live on.
Planet Produce sources fruit, vegetables and salads from more than 40 countries, with a particular emphasis on exotics and speciality salads. It is particularly strong in the wholesale, foodservice and catering sector.
Provenance Partners was set up in 2010 and is owned 50 per cent each by Total Produce and Millhouse Ltd, although Total Produce is regarded as the parent company. Total Produce took its shareholding up to 50 per cent after acquiring an additional 41 per cent in the business in December 2013.
In its latest available accounts, for 29 December 2013 to 27 December 2014, Provenance Partners recorded a turnover of £45.1 million, with a pre-tax profit of £1.5m.
Directors wrote in the annual report: 'The business performed to a satisfactory level for 2014 in an increasingly competitive trading environment. Despite significant selling price and cost price pressures, the underlying performance met expectations.'
The company imports – particularly from Africa – and distributes fresh produce to retailers, processors and wholesalers in the UK and Europe.
Planet Produce has appointed a number of new directors on the back of the deal in the last month, including Total Produce executive director Denis Punter and group finance director Mark Owen.
It also appointed Provenance Partners directors Andrew Jones and Andrew Spyropoulos, according to documents filed at Companies House.
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