Jamaica Producers set to acquire food businesses in Europe
The parent company of cold-pressed fresh juice brand Hoogesteger is looking to close at least one deal in 2020
Two acquisitions are on the horizon at Jamaica Producers (JP), the food, logistics and retail group. Speaking at the annual general meeting, managing director Jeffrey Hall commented that JP is looking to close deals in Europe and the Caribbean.
The company, which owns and operates the Hoogesteger brand of cold-pressed fresh juices, has been scouting opportunities for more than a year.
The interest in acquisitions comes on the heels of the sale of a minority stake in its snack operation to Wisynco Group. The company has also recently contracted a consumer products company to distribute JP’s fruit-based snacks brand St Mary’s.
“We have active acquisition targets both in the food and drink and the logistics and infrastructure business,” Hall told Jamaica’s news website Financial Gleaner.
Hall hinted that JP has identified attractive food and drink businesses in Europe and that for the logistics and infrastructure division, the company has found targets in the Caribbean.
A multinational group of companies, JP has operations in Jamaica, the Caribbean, South America, and Europe.
JP’s Hall said that transactions on the horizon would be paid by a combination of debt financing and company resources.
Jamaica Producers food business
In March JP reported revenues of $21.5 billion for the year ending in December 2019. The Food and Drink Division represented the most significant contributor to the business, with leading sales from the Hoogesteger brand.
Based in the Netherlands, Hoogesteger is a major European supplier of cold-pressed juices. Besides the domestic market, the company works with supermarket and foodservice businesses in Belgium, Scandinavia and Switzerland.
Demand for fresh fruits and vegetables have been in an upward trend this year. The Covid-19 pandemic has increased consumers’ awareness of immune-boosting vitamins found in these foods.
“We’ve been marketing pineapples as a good source of vitamin C in response to the current environment,” Hall said.
The company reported that demand for pineapples has led to a 198% growth in 2020 to date.
JP also announced plans to strengthen its e-commerce business, with a focus on packaged foods.