BANGKOK: The world’s biggest producer of canned tuna Thai Union Frozen Products Public limited company has agreed to buy US competitor Bumble Bee Seafoods for $1.5 billion as part of a plan to double revenue through overseas acquisitions.
Thai Union President and Chief Executive Thiraphong Chansiri said on Friday the deal is the largest acquisition in the history of our company and one of the most exciting external growth propositions.
The purchase will give Thai Union control of some of North America’s best known seafood lines, including two of the three biggest canned tuna brands in the United States, in its quest to reach revenue of $8 billion by 2020.
The deal marks the latest instance of consolidation in the global seafood industry, which analysts say has been in flux over the past few years as companies change the way they manage supplies and costs to better cater to shifting consumer demand.
Thai Union said the transaction is likely to be completed in the second half of next year, subject to approval by US antitrust authorities, whose clients include Wal-Mart Stores Incorporation and Costco Wholesale Corporation.
