Chilean fruit giant David del Curto (DDC) is to acquire some of the shares in fellow grower-exporter Southern Fruit in a move to associate the two companies, according to a press release from DDC.
The deal is set to consolidate the pair as one of the biggest exporters in Chile, with combined sales of over US$250m in 2013.
“This is great news that will allow us to better serve our producers every day and better reach the international market, supporting the image of Chile as one of the principal fruit exporters in the world,” explained DDC general manager Vlamir Domic.
Domic’s counterpart at Southern Fruit, Pablo Brunner, added that the association of the two firms will be “very beneficial” since it will enable the firm to incorporate DDC’s long experience and development into Southern Fruit’s client and producer services, while still allowing Southern Fruit to focus on processing services at its packing facilities.
By associating the two companies, the duo aims to improve economies of scale and synergies in order to add value for its producers and clients in the US, Canada, Latin America, continental Europe, Scandinavia, Russia, the UK, India, the Middle East and Australasia.
However, each business will continue to operate independently and fulfil previously established commitments.
DDC has signed an agreement of intent and once the process of due diligence has been completed, the firm wil acquire part of the shares in Southern Fruit.
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