SPC has a new CEO, with Neil Brimacombe appointed on 24 July, following Rob Giles’ resignation after four years at the helm. Giles had launched legal action regarding his payout.
Giles was announced CEO three months after the Shepparton Partners Collective had bought the company from Coca-Cola Amatil for $40 million. He replaced Reg Weine, who is currently chair of Maggie Beer Holdings and on the relatively new board of Bubs Australia.
Under Giles and chair Hussein Rifai, the company has been focused on throwing off any real or perceived shackles that come with being a heritage brand.
It hired more people and started an apprenticeship program, offloaded IXL jam and Taylor’s brands and sold its Kyabram factory, signed a joint venture with Döhler to establish a specialist ingredients business, and acquired frozen ready meal company Kuisine Co to expand its existing footprint in healthcare, aged care, and disability services in its first two years.
Since 2021, its launched a new corporate brand, a ready meal service in Tasmania, launched a dedicated nutritional healthcare company, SPC Care, in response to the aged care royal commission, made headlines as the first Australian company to mandate covid vaccinations, gave its Goulburn Valley brand a refresh, and in late 2022 entered the beverage market with its sparkling better-for-you canned range of drinks called Helping Humans.
But the pandemic and extreme weather events hurt the company. The agribusiness gets stung from many angles – energy prices, petrol/diesel costs, agricultural costs like fertiliser, wage increases, labour shortages and an aging workforce, commodity prices, and of course, the weather.
It is estimated that the catastrophic floods last year destroyed around 18,000 tonnes of produce.
But the company has turned a profit every year since it was sold by Amatil. In the early days of the new ownership, Rifai told Food & Drink Business he wanted to build SPC into a global agribusiness to become the Nestlé of Australia.
Last year it raised more than $110 million, with equity investments from The Australian Meat Industry Superannuation Trust (AMIST) and the family office of Peregrine Corporation managing director Khalil (‘Charlie’) Shahin.
AMIST is an industry super fund that began more than 30 years ago initially for those working in the meat industry, but now open to anyone.
Peregrine Corporation is the largest privately owned company in South Australia and eighth in the country, with $2.9 billion revenue in FY21.
SPC also managed to roll out 10 per cent price rises on its products including SPC Baked Beans, SPC Spaghetti, Ardmona canned tomatoes, and Goulburn Valley fruits.
According to The Australian Financial Review, Giles’ employment lawyer Tony Pick said his resignation was because it was time for something new after the pandemic and that he was proud of what he’d achieved.
Giles had instigated the legal action in relation to a breach of contractual and statutory entitlements. The AFR said the claims related to the final three months of his employment and unpaid leave worth up to $400,000.
Rifai told the AFR he was disappointed the situation reached this point. Both parties settled the case on Wednesday (16 Aug).
New CEO announced
On announcing Brimacombe as new CEO, Rifai said, “His extensive experience and leadership skills make him the ideal candidate to lead the company into the future. We are confident that Neil’s strategic insights and passion for our business will propel SPC to new heights of success.
Brimacombe has spent more than three decades working in consumer goods, including Tiger Brands in South Africa, Chococam in Cameroon, Deli Foods and UAC foods in Nigeria, Haco in Kenya, National Foods in Zimbabwe, EATBI in Ethiopia, and Carozzi in Chile and Peru.
Most recently he was MD of Consumer Rock International, an FMCG consultancy advising companies on building market share across the African continent.
Rifai said Brimacombe was, “poised to lead SPC into a new era of growth and innovation”.
SPC said, “With a strong track record of driving growth and strategically transforming businesses, he is widely recognised for his dynamic leadership and ability to navigate complex market landscapes.
“His extensive knowledge of the industry, combined with his deep understanding of consumer trends and preferences and integrated leadership style, has enabled him to deliver exceptional results throughout his career.”
Brimacombe said, “I am honoured to have the opportunity to lead SPC, an organisation with such a rich heritage and a strong commitment to quality and innovation. I look forward to working closely with the talented team at SPC to drive growth, expand market presence, and deliver outstanding products to consumers worldwide.”
The company said its goal is to strengthen its market position as a global leader in the food and beverage sector. Brimacombe’s strategic vision would focus on “leveraging emerging trends, driving innovation, enhancing sustainability initiatives and accelerating relevant acquisition and global expansion programs”.
