Scoop has an Ethical Paywall
Work smarter with a Pro licence Learn More

Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Seeka acquires Vital Foods' Kiwi Crush

Wednesday 31 August 2016 10:51 AM

Seeka acquires Vital Foods' Kiwi Crush, Crushies, plans food-tech centre in Bay of Plenty

By Jonathan Underhill

Aug. 31 (BusinessDesk) - Seeka Kiwifruit Industries, which handled record volumes of fruit in its latest packing season, is moving up the value chain by acquiring the Kiwi Crush and Kiwi Crushies product ranges from Auckland-based Vital Food Processors for an undisclosed sum.

Kiwi Crush is a range of kiwifruit based drinks marketed for digestive complaints such as constipation and for the benefits of their vitamin C and antioxidants. The Kiwi Crushies range of fruit-based ice blocks was launched in 2014.

Chief executive Michael Franks said the company wasn't required to disclose the purchase price given it was relatively small relative to the size of the business. "This is about total value recovery - getting more value from the produce that we're handling," he said.

Seeka, the largest kiwifruit grower in New Zealand and Australia, was on the lookout for other potential value-added assets it could acquire, "when it fits into the core business."

Seeka listed in 2003. In recent years it has added SeekaFresh, which handles non-Zespri supplied produce including avocados, and Glassfields, which imports and ripens tropical fruit and provides a logistics service for retailers. It produces avocado oil that is sold under the Village Press brand.

Franks said Seeka has a long association with Vital Foods as a supplier of kiwifruit and as a shareholder. Seeka owns 2.3 percent of Vital, according to Companies Office records.

Advertisement - scroll to continue reading

Are you getting our free newsletter?

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.

Seeka said the products would initially continue to be manufactured by Vital but that Seeka plans to establish a food technology and processing centre in the Bay Of Plenty in time for the next kiwifruit season, focussed on adding value to the products it handles.

The company's New Zealand volumes rose 17 percent to 30.8 million trays in the 2016 season, exceeding 30 million for the first time. Last week it said first-half profit almost doubled to $7.1 million.

Its shares last traded at $4.40 and have gained 27 percent in the past 12 months.

(BusinessDesk)

ends

© Scoop Media

Advertisement - scroll to continue reading
 
 
 
Business Headlines | Sci-Tech Headlines

 
GenPro: General Practices Begin Issuing Clause 14 Notices

GenPro has been copied into a rising number of Clause 14 notices issued since the NZNO lodged its Primary Practice Pay Equity Claim against General Practice employers in December 2023.More

SPADA: Screen Industry Unites For Streaming Platform Regulation & Intellectual Property Protections

In an unprecedented international collaboration, representatives of screen producing organisations from around the world have released a joint statement.More

 
 
 
 
 
 
 
 
 
 
 
 

Join Our Free Newsletter

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.