Dublin based fruit and fresh produce company Fyffes will soon be merged with Chiquita Brands International Inc., an American company that deals with production and distribution of bananas. But before these two companies come together, the shareholders need to vote in favor of this decision in the month of September. Also, this merger needs to obtain regulative approval in Europe.
The chief executive officer of Chiquita Brands International Inc. has stated that all the required conditions have been fulfilled in order to go ahead with the planned merger. He also stated that this company is abiding by the guidelines and rules as laid down by the European Commission.
This business partnership between Chiquita and Fyffes would lead to sales worth $4.6 billion on an annual basis and also lead to the creation of the world’s biggest banana company. Furthermore, this merger would enable the company to tackle weather-related contingencies.
Via this merger, the portfolio of both these players would improve and get further enhanced with their already established business positions in melons, pineapples in the US and Europe, and this would lead to greater customer satisfaction.
Chiquita Brands International Inc. has moved beyond dealing with just branded bananas, and is currently dealing in branded salads and organic products.
Chiquita Brands International Inc. will remain a standalone entity if by chance the planned merger does not work out.
The net sales reported in the month of June were $716 million.