Food and Beverage Business
Finance

Original Juice Company, SPC to Merge with Nature One Dairy

Original Juice Company, SPC to Merge with Nature One Dairy Baby food, Fresh produce, Refrigerated, Shelf-stable Food and Beverage Business

Australia’s The Original Juice Company (OJC), SPC Global, and powdered milk enterprise Nature One Dairy are poised to merge, forming a new powerhouse in the food and beverage sector.

Robert Iervasi, previously CEO of Asahi Beverages Group and a director at SPC, has been appointed as the managing director of the newly formed entity. This new business will operate in three divisions, reflecting the strengths of its constituent companies.

Founded in 1988, OJC specializes in chilled fruit and vegetable juices, carving a niche in the beverage market. Meanwhile, SPC positions itself as Australia’s largest producer of packaged fruit, canned tomatoes, baked beans, and spaghetti, boasting reputable brands such as SPC, Ardmona, Goulburn Valley, and Street Eats.

Nature One Dairy, an Australian-founded company registered in Singapore, produces and sells a range of dairy products, including infant and nutritional formulas, as well as milk powder products.

Iervasi emphasized the exciting opportunities ahead, stating, “With our market-leading packaged fruit, canned tomatoes, and baked bean products, we are thrilled to expand with OJC both domestically and globally and see significant synergy potential in bringing the two producers together.”

The upcoming merger aligns with current food and drink consumer trends that emphasize convenience and quality in the food and beverage industry. This newly combined enterprise is anticipated to generate over A$400 million (US$275 million) in revenue and A$29 million in EBITDA by the 2025 financial year.

SPC reported a revenue of A$271 million in its 2024 fiscal year, while OJC contributed A$49 million and Nature One Dairy generated A$46 million, as per filings with the Australian Securities Exchange.

The newly formed company will be publicly listed, with OJC’s ASX code transitioning to SPG. The merger is expected to finalize in November, marking a significant transformation in the food and drink business landscape.

As part of this deal, OJC will issue 133 million shares to SPC shareholders. Additionally, Nature One Dairy shareholders will receive up to 29 million shares and cash payments of up to A$6 million.

Once the merger is complete, shareholders will hold a distribution of 15.5% for OJC, 69.2% for SPC, and 15.3% for Nature One Dairy in the combined business.

OJC CEO Steven Cail remarked, “This is a transformational moment for OJC, bringing our premium portfolio of juice products and processing technology together with SPC’s iconic brands and the powdered milk business of Nature One Dairy, creating significant production capability to establish a food and beverage market leader.”

Cail, along with Nature One Dairy CEO Nick Dimopoulos, will continue to support the combined group during its transition. Hussein Rifai will assume the role of chairman for the new organization, while the current OJC chairman, Jeff Kennett, will step down post-merger.

 

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