TORONTO, Apr 2, 2008 (PrimeNewswire via COMTEX) -- SunOpta Inc. (STKL) today announced that it has completed the previously announced acquisition of the outstanding shares of The Organic Corporation B.V., operating as Tradin Organic Agriculture B.V. ("Tradin" or "the Company"). The purchase price consisted of cash paid on closing, notes payable and certain deferred payments which will be paid in the future based on the performance of the Company.
Headquartered in Amsterdam, the Netherlands, Tradin is one of the world's leading providers of globally sourced organic food ingredients with annual revenues of approximately US$120 million. The Company is a key supplier of a wide variety of organic products including frozen fruits and vegetables, dried fruits, coffee, cocoa, cereals, rice, soy, beans, pulses, seeds, nuts, oils, dairy products, seasonings, sweeteners and more. The Company operates a number of wholly-owned and partially owned companies based in the Netherlands, China and Ethiopia. In addition, the Company maintains sales and sourcing operations in the United States, Germany, Austria, France and Thailand which source organic ingredients from extensive relationships in key growing areas around the globe. The existing management of Tradin will remain with the Company and will play an important role in the continued development of the organization's extensive capabilities.
Tradin's organic foods sourcing and processing expertise complements SunOpta's broad natural and organic foods platform, sourcing and processing from diverse geographies and serving a global customer base. The combination of these capabilities is expected to lead to further integrated sourcing and processing opportunities around the globe and will position SunOpta as one of the dominant suppliers to the rapidly growing organic foods industry. The transaction is expected to be earnings neutral in fiscal 2008, before the impact of operating synergies which are expected to transpire as the combined strengths of the operations are realized.
Wim Rabbie and Gerard Versteegh, the shareholders of Tradin, commented, "We are very pleased to have completed this transaction and we are very excited to be part of the SunOpta family. There are many opportunities for continued growth and development of organic ingredients around the world, and we look forward to doing this as part of SunOpta."
Steve Bromley, President and Chief Executive Officer of SunOpta, commented, "We are very excited to have the Tradin team join SunOpta. The strategic combination of SunOpta's global organic sourcing and processing operations with Tradin's extensive and complementary operations, positions SunOpta as a global leader in the provision of organic ingredients in the world, and is consistent with our strategy to become the leading global supplier of natural and organic food products."
About SunOpta Inc.
SunOpta Inc. is an operator of high-growth ethical businesses, focusing on integrated business models in the natural and organic food, supplements and health and beauty markets. The Company has three business units: the SunOpta Food Group, which specializes in sourcing, processing and distribution of natural and organic food products integrated from seed through packaged products; Opta Minerals Inc. (CA:OPM: news, chart, profile) (66.7% owned by SunOpta), a producer, distributor, and recycler of environmentally friendly industrial materials; and SunOpta BioProcess Inc., which engineers and markets proprietary steam explosion technology systems for the pulp, bio-fuel and food processing industries. Each of these business units has proprietary products and services that give it a solid competitive advantage in its sector.
Certain statements included in this press release may constitute "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to references to the expected terms of the proposed private placement and business strategies, competitive strengths, goals, capital expenditure plans, business and operational growth plans and references to the future growth of the business. These forward-looking statements are based on certain assumptions and analyses made by the Company in light of its experience and its interpretation of current conditions, historical trends and expected future developments as well as other factors that the Company believes are appropriate in the circumstance. However, whether actual results and developments will agree with expectations and predications of the Company is subject to many risks and uncertainties including, but not limited to: the company's ability to negotiate successfully the specific terms of the private placement with investors, general economic, business or market risk conditions; competitive actions by other companies; changes in laws or regulations or policies of local governments, provinces and states as well as the governments of United States and Canada, many of which are beyond the control of the Company. Consequently all forward-looking statements made herein are qualified by these cautionary statements and there can be no assurance that the actual results or developments anticipated by the Company will be realized.