TORONTO, Dec 22, 2005 (CCNMatthews via COMTEX) -- SunOpta Inc. (STKL) (CA:SOY) announced today that it has acquired 100% of the outstanding shares of 4307623 Canada Inc. into which has been transferred the business, operating assets and liabilities of the business of Les Importations Cacheres Hahamovitch Inc. ("Hahamovitch" or "the Company").
Hahamovitch is a Montreal based distributor of kosher and specialty foods. Hahamovitch has a long-term track record of profitability and has been in business for over 50 years. Over this time Hahamovitch has worked closely with organizations that are now key business units of the SunOpta Canadian Food Distribution Group. Hahamovitch generates annualized revenues of approximately $5.2 million and operates from a 31,000 square foot facility located in Montreal, Quebec.
The operations of Hahamovitch will be integrated as part of the SunOpta Canadian Food Distribution Group and will continue to be managed by Mr. Michael Zimlichman, its President. The business will become a platform for the further development of SunOpta's organic, natural and specialty food grocery distribution business in the Province of Quebec.
In welcoming Hahamovitch, Steve Easterbrook, President of the SunOpta Canadian Food Distribution Group commented, "This acquisition will strengthen our supply arrangements with numerous kosher food producers around the world as well as bring new product lines to each company. The quality and certification attributes of kosher foods are very complementary to our organic and natural food categories."
Michael Zimlichman commented, "I am very pleased to have Hahamovitch join the SunOpta team. Our values, principles and knowledge are closely aligned and that will ensure continued integrity in serving the Montreal kosher and specialty food community."
The transaction closed on December 22, 2005 and was completed for cash, a non-interest bearing note and certain earn-our provisions based on the future performance of the Company.
About SunOpta Inc.
SunOpta Inc. is an operator of high-growth ethical businesses, focusing on integrated business models in the natural and organic food markets. For the last seven consecutive years, SunOpta was included in Profit magazine's 'Profit 100' list of the 100 fastest growing companies in Canada. 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; the Opta Minerals Group, a producer, distributor, and recycler of environmentally friendly industrial materials; and the SunOpta BioProcess Group 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 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; 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.