South African company Zaad Holdings Ltd. has purchased Sakata Seed America's onion breeding program. ( File photo )

Sakata Seed America, Morgan Hill, Calif., has sold its onion breeding program to Cape Town, South Africa-based Zaad Holdings Ltd.

Zaad, a vertically-intedgrated agriculture company, according to a news release, will introduce new genetics through an established breeding program.

“We at Zaad look forward to continuing to expand the genetics of this program,” Antonie Jacobs, CEO of Zaad Holdings, said in the release. “In addition, we are pleased about our new marketing partnership with Sakata, which is a win-win for both companies.”

Sakata Seed America maintains the right of first refusal to market the commercial onion genetics in its existing territories.

“Zaad has an outstanding reputation and capabilities that will enable them to expand production and supply channels in the onion market,” John Nelson, vice president of Sakata Seed America, said in the release.

Sakata Seed America is a subsidiary of Sakata Seed Corp.