Food processing company In2Food has acquired Sydney-based fruit and vegetable supplier MD Provodores for an undisclosed sum.
In2Food provides fresh fruit and vegetables to hotels, restaurants, caterers, cafes, aged care facilities, and food manufacturers nationally. It went into receivership last year and was bought by Produce Republic in September 2021 after a competitive bidding process.
At the time, In2Food had a network of 10 storage, distribution and packaging facilities throughout Australia and a fleet of more than 100 trucks.
Produce Republic managing director Brett Jackson told Food & Drink Business its priority for In2Food was to re-engage with its network of growers and ensure the jobs of the company’s 400 employees.
Jackson said the company had been badly affected by the pandemic but had “outstanding fundamentals, with established supply relationships with local growers, a diverse customer base, loyal employees and an integrated national footprint”.
Produce Republic owns food processing brands including Yarra Valley-based frozen fruit supplier Aussie Frozen Fruit.
“Produce Republic has been a food processing company, but we are looking to expand into the food business. Aussie Frozen Fruit is the only Australian business in the sector operating on the large scale that we do,” he said.
“What excited us about In2food was the opportunity to introduce our manufacturing disciplines from Aussie Fruits into that sector. It’s obviously not a solution for everything but it will form part of our strategy,” he said.
Six months later, the acquisition of MD Provodores will see In2Food become one of the largest suppliers of fresh and processed produce to the hotel, restaurant and café (HoReCa) market in Sydney.
MD Provodores was founded 18 years ago and supplies more than 550 venues across Sydney with fresh – and through its wholly owned subsidiary Slice + Dice – pre-cut fruit and vegetables.
“In2Food’s state-of-the-art processing facilities, expansive reach and direct-from-farm approach, enhanced by MD Provodores’ local experience, diverse customer base and processing operations will make for a formidable force in a competitive market,” Jackson said.
Some of its executive leadership group, including founder and director Mouhamad Dib, will stay on.
Once completed, In2Food will operate a network with close to 500 employees, in excess of 110 trucks, and a facility in every capital city except Hobart, servicing more than 5000 customers nationally.
Jackson said, “Our purchase of MD Provodores brings two strong food companies together. The combined company will position In2Food as the leading supplier to the HoReCa market in NSW and strengthen our position as the pre-eminent national player in the sector.
Dib said the acquisition would enable the business to grow its local and national footprint.
“MD Provodores currently supplies more than 550 venues in the Sydney area. As part of In2Food we will be able to service more than 1000 venues, with all food delivered fresh before lunchtime,” Dib said.
The acquisition was completed on 11 April 2022 and facilitated by Remagen Capital.
