Vegalab acquired the Lindsay, Calif., citrus company, increasing its overall fruit processing capacity to more than $150 million each year. Vegalab didn’t release the name of the company it purchased, which includes 9.4 acres in the San Joaquin Valley.
The facility has more than 260,000 square feet, and includes three packing lines, about 32,000 square feet of cold storage, 12 degreening rooms and a six-bay shipping area, according to a news release. The facility can process up to 200 bins an hour.
The purchase is subject to a lease option agreement through Nov. 1.
In 2017, Vegalab purchased M&G Packing, Fresno, Calif., including inventory, equipment, customers, suppliers and contract rights.
“We believe this acquisition will produce tremendous synergies between our packing business and our all-natural agro-chemical business,” CEO David Selakovic said in a news release at the time of that deal.
In announcing the recent acquisition, Selakovic said Vegalab hasn’t been able to meet the demand from domestic and international buyers, and has been evaluating packing facilities to add to the Vegalab portfolio.
“While touring the plant, we recognized how well-designed it is to seamlessly combine highly efficient fruit processing with the ability to rapidly ship product to our domestic and international customers,” he said in the release. “We intend to continue to build out our infrastructure and integrate our properties while efficiently increasing the company’s annual sales.”
In September, Vegalab also purchased the Tuttle Creek Dock property in Merced, Calif. The property has 27 acres of land and a transit warehouse. The $2.5 million purchase gives Vegalab access to a BNSF railway line and will be used to distribute the company’s fertilizers and pesticides, according to a news release.