Pioneer Foods and FUTURELIFE announce joint venture
AA – Pioneer Foods has entered into an agreement to acquire a 50% shareholding in FUTURELIFE Health Products (Pty) Ltd, a scientifically formulated nutrient-dense functional food products company, for an undisclosed purchase consideration.
The transaction allows Pioneer Foods, which houses well-known brands such as Weet-Bix, Bokomo, Liqui-Fruit, Sasko and White Star, to complement its existing product portfolio with the addition of one of South Africa´s fastest growing health brands within the functional foods category, in which Pioneer Foods is not currently represented.
The joint venture provides an opportunity for both companies to combine their expertise in both the food and beverage, and functional foods sectors in order to explore profitable categories outside of their respective traditional markets, and to unlock new product opportunities that may otherwise not be accessible to either company.
“As a leading FMCG company, innovation is at the core of our business. This joint venture with FUTURELIFE, an industry leader in the functional foods category, provides Pioneer Foods with an opportunity to shape a winning brand portfolio by fast tracking product innovations and developing new product categories,” said Phil Roux, CEO of Pioneer Foods.
Founder and CEO of FUTURELIFE Paul Saad said the joint venture is set to be a win for the South African consumer: “Combining Pioneer Foods´ scale and experience in the food and beverage market together with our functional food expertise in creating the first smart food formulated range of products will result in exciting new health choices for the consumer.”
The transaction is subject to a number of conditions precedent, which are standard for a transaction of this nature, including Competition Commission approval. Paul Saad, Founder and CEO of FUTURELIFE, will lead and manage the joint venture.
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