Brampton, Ont. – SunOpta Inc. has sold its Mexican frozen fruit business for $3.5 million.
The business, located in Rosarito and Irapuato, Mexico, was sold to privately owned Mexican company Fruvemex. The deal involves a $750,000 cash payment, with the remainder to be paid over the next year, and includes use of the land and buildings in Irapuato.
Fruvemex, which is based in Mexicali, is a long-time supplier to SunOpta.
“This divestiture is the latest step in our strategy to improve the profitability of our frozen fruit operations and continue to simplify our business model with a focus on our core areas of expertise, plus expand strategic relationships to secure long-term supply,” says SunOpta president and CEO Steve Bromley. “We believe that Fruvemex will be an excellent long-term partner and provide SunOpta with cost competitive fruit products.”