It was widely reported in Australian media that Pure Foods Tasmania is planning to buy the business and assets of Daly Potato Company for $1.8 million. Lisa Simcock reports for The Market Herald on this development.
Simcock writes that Daly Potato Company emerged from a 30-year-old farm owned by the Daly family on Tasmania’s southeast coast. Its premium potato salads are sold to major supermarket chains including Woolworths, Coles and Metcash with sales growing in the last three years from $211,000 to $2million. Over the 2017 financial year, sales topped $211,000; they’ve since grown to $2 million.
Pure Foods revealed the pair have been in talks for some time regarding a possible merger but discussions were non-committal until now, when Daly was at the crossroads between continuing to manage its burgeoning business or invest heavily to meet increasing national and international demand for its products.
The company will take on approximately $300,000 in debt, which Daly Potato currently holds. It will also pay the Daly family $100,000 in cash during settlement.
Source: The Market Herald. Read the full report here
