Dole plc announced the successful completion of the sale of its Fresh Vegetables Division to og Holdco LLC, a portfolio company of Arable Capital Partners, LLC. This divestiture was a strategic priority for Dole since 2023, aimed at enhancing strategic clarity and focusing on core, higher-margin business activities.
The total consideration for the sale is $140 million, comprising $90 million in cash, a $50 million seller note, and a potential $10 million earn-out. The cash proceeds from this transaction are specifically earmarked for debt reduction, which will further strengthen Dole's balance sheet.
As part of the agreement, Dole retained a five-year rent-free usage of the Yuma and Huron facilities, valued at approximately $40 million. This arrangement provides operational flexibility while allowing the company to concentrate its investments and efforts on its Fresh Fruit and Diversified Fresh Produce segments.
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