Find The Packer’s initial coverage from Coral Beach here.
The story also has traction on the net.
Here are a few online stories about the possible deal:
Analysts say in the story that Chiquita and Fyffes want to consolidate their marketing position against powerful retailers, and Fairtrade proponents worry about a “race to the bottom” that threatens all banana producers.
The merger, says the WSJ report, would give the combined companies 29% of the global banana market, compared with 26% for Dole and 15% for Fresh Del Monte. The article also mentions advances in refrigerated container technology that is boosting banana trade by doubling shelf life from 20 days to 40 days.
Here is the link to the release filed with the Securities and Exchange Committee from the two companies
From that release, some initial “bullet points were listed:
- Creates No. 1 Banana Company Globally
- Significant Presence in Packaged Salads, Melons and Pineapples
- Targeting $40 Million of Annualized Pre-Tax Cost Synergies
- Company Name to be ChiquitaFyffes plc
- Combined Company to be Listed on the New York Stock Exchange and Domiciled in Ireland
- Chiquita and Fyffes Brands to Continue
- Ed Lonergan will serve as Chairman and David McCann will become CEO of the Combined Company
- Combined equity value of approximately $1.07 billion