Planet Organic, Canada's largest natural foods retailer, announced today it would buy California-based New Leaf Community Markets for $9.75 millon. New Leaf operates three stores in the Santa Cruz region, and had plans to open two more. New Leaf reported 2007 revenue of $26.4 million. Earnings before interest, taxes, depreciation and amortization were reported at $1.5 million.
Planet Organic Health Corp. operates eight natural food supermarkets throughout Canada under the Planet Organic Market banner and 11 natural food supermarkets in the U.S. under the Mrs. Green's Natural Markets banner. The Company also operates 48 natural health outlets under the Sangster's Health Centre banner and seven natural health outlets under the Healthy's banner. Another POHC company, Trophic Canada, manufactures natural supplements.
"We have served our markets at the highest level for over 20 years and will continue to offer market-leading quality and service to our customers. Together with Planet Organic, we will be able to accelerate our growth plans in existing and new markets and see significant opportunities in California in the next few years," said Scott Roseman, New Leaf founder and co-owner.
The deal is expected to close in April.