Lassonde Industries Inc. has reached an agreement to acquire Old Orchard Brands, LLC, a family-owned juice and beverage company based in Sparta, Michigan, for a total cash consideration of USD146.0 million (subject to working capital and other adjustments) payable upon closing of the transaction. By way of additional consideration, a further amount of up to USD10.0 million may be payable over the next two years subject to specified financial milestones. In addition, Lassonde has agreed to purchase the property, comprised of the plant and land, for USD4.0 million subject to satisfaction of certain regulatory conditions. If the conditions are not met, this property will be rented under a long-term lease.

The closing of the transaction, expected in May 2018, is contingent on the parties agreeing to an action plan that ensures compliance with certain due care regulatory obligations related to the use of the real estate assets. The closing of the transaction is also subject to standard terms and conditions, including obtaining regulatory approvals.

Source: Lassonde

T.B.Fruit Group increased organic juice concentrate production by 20% in 2017, to 3,000 tonnes.
“We have an upward pace of organic concentrated juice production – 20% growth in 2017. Last year, we produced about 3,000 tonnes of juice concentrate and it was all exported to European countries and the United States,” Production Director of T.B.Fruit Group Oleh Mochaliuk told journalists at the second international congress Organic Ukraine 2018.
According to him, the group recently started production of organic juice concentrate from elderberries.
“In the juice concentrate industry we occupy about 60% of the Ukrainian market, 12% of the European market and 8% of the global market,” Mochaliuk said.
The total capacity of the group for the production of juice concentrate is about 100,000 tonnes per year, of which organic is 4%.
T.B.Fruit Group was established in July 2011, uniting all assets of Taras Barschovsky: Yablunevy Dar, T.B.Fruit Dwikozy fruit processing plant in Poland, Tank Trans Ukraine and Tank Trans Polska, which transport bulk cargo by road, and a fruit-growing complex, which includes apple-trees, cherry-trees, and strawberry and raspberry fields on 700 hectares.
T.B.Fruit Group owns eight juice concentrate plants in Ukraine, Moldova and Poland.
T.B.Fruit produces freshly squeezed juice under the Galicia trademark in Ukraine.

Source: Ukraine Open For Business

The sugar tax on soft drinks has come into force in the UK. Manufacturers will now have to pay a levy on the high-sugar drinks they sell.

Ministers and campaigners believe it has already proved to be a success with many firms reducing sugar content ahead of the change. But others say it is still too early to judge the impact.

Leading brands such as Fanta, Ribena and Lucozade have cut the sugar content of drinks, but Coca-Cola has not.

The introduction of the levy means the UK joins a small handful of nations, including Mexico, France and Norway, which have introduced similar taxes.

Source: BBC

UK      The UK Competition and Markets Authority (CMA) has raised concerns that the merger between Refresco and Cott could raise prices for certain juice drinks. Refresco says it is willing to offer suitable remedies and will fully cooperate with the authority to address the issues raised.

Source: Beverage Daily