August 5, 2022

By Lynda Kiernan-Stone, Global AgInvesting Media

Headquartered in the Central Valley of California, Frutura is a relatively new fruit sales and marketing network founded in 2021 and headed by industry veteran and CEO David Krause, that is rapidly growing to become a global year-round fruit supplier.

It began with the acquisition in June 2021 of majority stakes in California-based  Dayka & Hackett (D&H) – a fruit grower, and global fruit importer (from Argentina, Brazil, Chile, Costa Rica, Ecuador, Guatemala, Italy, Mexico, Peru, South Africa, and Uruguay), seller, and marketer – and Agrícola Don Ricardo (ADR), a Peru-based fruit growing, processing, export company focused on table grapes, mandarins, oranges, avocados, and blueberries.

Very quickly, Frutura’s portfolio also included U.S.-based TerraFresh Organics, a company that sources high-quality fruit from organic growers in the U.S., Mexico, and Central and South America, and then markets its products across North America; and Frutura Uruguay – a Salto, Uruguay-based global supplier of premium oranges, mandarins, lemons, grapefruits, and juice.

Now, Frutura’s latest announcement is the closing of its latest acquisition – Chile-based fruit exporter Subsole. 

“Having a strong presence in Chile is integral to our growth strategy so we’re delighted that Subsole is now part of our portfolio,” said David Krause, CEO, Frutura. “Chile’s a mature player in LATAM and the global marketplace respects the country’s well-earned reputation for high-quality fruit.”

Headquartered in Santiago, Subsole is Chile’s largest exporter of table grapes to the U.S., Europe, Latin America, and Asia. Integrated from farm to final consumer, the company also offers citrus fruit, avocados, cherries, pomegranates, and kiwis; having shipped a total 10 million boxes of fruit to more than 40 countries.

“This has been an incredibly challenging year in Chile for fresh produce exports, with a logistics’ meltdown leading to escalating costs throughout the chain,” said Subsole CEO, Juan Columbo, who will remain in his position as the head of the company. “Our team, from senior leaders to our colleagues in the fields, has worked incredibly hard. Because of their efforts, Subsole now finds itself in an enviably solid position on which to build.”

Building on the Subsole foundation is exactly what Frutura plans to do. New plans to expand packing capacity and new varieties are being pursued, but Frutura is concentrating its focus on adding acreage to Subsole’s current footprint. The process is underway to add acreage from Chile’s different geographies and growing zones, with negotiations actively happening that will significantly increase the company’s export volumes, especially for citrus and avocados.

“Becoming part of Frutura will allow Subsole to reshape, in a profound way, how we supply and run our business,” said Colombo. “It will allow us to generate new synergies and new opportunities as we recalibrate our business environment.”

Synergies between Frutura and Subsole also exist in regard to ethos and mission, with both partners holding ESG as a very high priority. Since the beginning, Subsole has implemented policies and processes that address social justice and responsibility, soil health and management, and energy and water conservation. This dedication was put into action when the company was the first in Chile to design and install a photovoltaic power plant in Copiapó to generate clean and renewable energy – a project that was repeated by the company two more times in different regions.

“We’re excited about the ways we can add value to Subsole’s table grape business as they lean into superior, proprietary varietals,” said Krause. “And the demand for cherries, particularly from China, makes that a crop of significant potential that we intend to accelerate.”

Columbo added, “The fact that we already know and have even partnered with many of the individuals associated with Frutura and its companies, made this a very comfortable climate for discussion. We’re impressed by Frutura’s disciplined approach to the business and I’m convinced that being a part of their team will add immediate value to our operations.”

~ Lynda Kiernan-Stone is editor with GAI Media, and is managing editor and daily contributor for Global AgInvesting’s AgInvesting Weekly News and  Agtech Intel News, as well as HighQuest Group’s Unconventional Ag. She can be reached at lkiernan-stone@globalaginvesting.com.

*The content put forth by Global AgInvesting News and its parent company HighQuest Partners is intended to be used and must be used for informational purposes only. All information or other material herein is not to be construed as legal, tax, investment, financial, or other advice. Global AgInvesting and HighQuest Partners are not a fiduciary in any manner, and the reader assumes the sole responsibility of evaluating the merits and risks associated with the use of any information or other content on this site.