Agro Care and CombiVliet to join forces
| Advisory Agro Care: | HVG Law | Legal Advisory NautaDutilh | Legal Advisory EY | Tax Due Diligence PWC | Financial Due Diligence |
| Advisory CombiVliet: | Maasdael | Corporate Finance Advisory Lexence | Legal Advisory Deloitte | Tax Due Diligence SINCERIUS | Financial Due Diligence |
| Date announced: | 2024-06-04 |
Agro Care and CombiVliet have announced plans to merge, pending approval from the Netherlands Authority for Consumers and Markets (ACM). This merger represents the largest consolidation of tomato growers in the Netherlands, and the combined entity will operate under the Agro Care name. Together, the two companies will cover nearly 500 hectares of tomato cultivation. The merger is retroactively effective from January 1, 2023, and the integration process will commence upon receiving regulatory approval in the coming months.
Already among the world's largest and most advanced tomato cultivation companies, Agro Care and CombiVliet have been exploring closer collaboration since 2018. Agro Care CEO Kees van Veen stated, "Most companies expand to grow with their customers and meet the demand for sustainability. Our drive to become more sustainable is not only market-driven but also a self-imposed mandate to future-proof our business. Larger scale enables us to better facilitate and finance these initiatives compared to doing it individually."
On the eve of Agro Care's 25th anniversary in 2022, the company had already hinted at the possibility of expanding to 1,000 hectares, primarily through collaborations. "We don't need to build all those hectares ourselves, and it doesn't all have to be in the Netherlands," Van Veen noted at the time. In 2020, investment firm NPM Capital joined Agro Care, bringing expertise in scaling and profitability. With the merger, the combined entity reaches approximately half of the projected expansion.
"Company growth will largely occur abroad," says Roy van Vliet, Managing Director of CombiVliet. "International tomato cultivation for a larger market benefits everyone in terms of sustainability, environment, employment, development, and economic interest. Consumers increasingly prefer local-for-local products, driven by sustainability considerations." Opportunities also exist for further development within the Netherlands, mainly through partnerships, mergers, and acquisitions.
Kees van Veen will serve as CEO, overseeing all countries and subsidiaries. Roy van Vliet, who succeeded his father Theo at CombiVliet two years ago, will be the Managing Director for the Netherlands. Philip van Antwerpen, co-founder of Agro Care, will continue as Managing Director for Tunisia, responsible for the two cultivation sites in the North African country. The CombiVliet name will be phased out in favor of Agro Care's well-established global brand.