T&G buys Apollo Apples to feed export markets

JOSH MARTIN
Last updated 16:10 16/04/2014

Relevant offers

Cropping

Austrian blueblood to plant 'Carlsberg Forest' in Hawke's Bay Kiwifruit growers give strong mandate to industry-good body Plantation forestry more competitive if farming made to pay for pollution Farm environment plan made easy, not rocket science Robotic apple packing developed by NZ company Robotics Plus ready to go offshore Mesh cover highly effective at keeping pests off potatoes Ecan says more regulations on the cards for farmers Rockit apple founder sells shares as company looks to expand New Zealand now world's top 3 wine import into USA by value Second year Lincoln student wins Ravensdown Hugh Williams Scholarship

Horticulture marketing and distribution company Turners & Growers has bought Hawke's Bay apple producer Apollo Apples for $36 million.

The Hastings apple-growing company could be paid an extra $8m under the deal if it exports more apples over four years.

Apollo Apples grows, packs and exports about 1.4 million cartons of apples, worth $50m annually,and owns 500 hectares of orchards in Hawke's Bay.

The production facility is based in Whakatu.

Turners & Growers chief executive Alastair Hulbert said the takeover was necessary to serve the needs of increasing export markets.

"This acquisition demonstrates our commitment to further invest in the New Zealand apple industry, improve grower returns and increase New Zealand apple exports."

Apollo Apples complemented Turners & Growers' capabilities as did Apollo's food production subsidiary, Apollo Foods, which Turners & Growers bought a half share of for $1m, Hulbert said.

The acquisition would assist Turners & Growers' marketing arm, Enza, to meet the global demand for southern hemisphere pipfruit, Hulbert said.

Turner & Growers, majority owned by German firm BayWa Aktiengesellschaft, said the Apollo Apple business would continue to be run by Bruce and Ross Beaton.

Bruce Beaton said Turners & Growers offered the investment necessary to make Apollo grow.

Apollo employs close to 120 permanent staff. Turners & Growers said all those staff will be offered roles under its ownership.

Ad Feedback

- Fairfax Media

Special offers

Featured Promotions

Sponsored Content