Greenyard Closes Sale Of Dutch Mushroom Processing Business
Fresh produce firm Greenyard has closed the sale of 100% of the shares of its mushroom processing business to Cornerstone Investment Management in cooperation with Kartesia.
Greenyard Prepared Netherlands is involved in processing and supplying freshly harvested mushrooms in cans and jars.
When the deal was announced, managing partner at Cornerstone Investment Management, Andrzej Klesyk, described Greenyard Prepared Netherlands as "a well-known player in the mushroom business" with state-of-the-art capabilities.
According to Klesyk, the acquisition is a "first step" in its long-term strategy, which includes further investment in the company to make it stronger.
Bardsley Horticulture Ltd
Elsewhere, Bardsley Horticulture Ltd has acquired all shares held by Greenyard Fresh UK Ltd in Bardsley Fruit Enterprises Ltd.
The move marks the end of a joint venture between the companies, which comprised a fruit packing station.
Both transactions result in an aggregate net debt reduction of around €25 million, strengthening Greenyard's balance sheet.
The company expects that these transactions will have no material effect on the group's adjusted EBITDA or its earlier guidance.
In June, Greenyard reported 'solid' year-on-year sales growth of 8.7% to €4.4 billion in its financial year 2020/21, driven by increased sales in its integrated customer model.
Its Fresh segment saw double-digit sales growth of 10.1% to €3.6 billion, with sales with integrated customers increasing by 22.3%.
In March, Greenyard announced a new €467.5 million financing agreement, which includes support from a consortium of banks, the Flemish government, and two private investors, one of which is Belgian billionaire Marc Coucke.