Switzerland-based Partners Group has acquired a significant minority stake in the Brazilian health food giant, Hortifruti, according to a company statement. The firm acquired the interest from local private equity firm, Bozano Investimentos, which is exiting the company.

 

Launched in 1989, Hortifruti is the top premium retailer of health foods, including dairy products, groceries, meats, and fruits and vegetables, in Brazil. The company has 40 retail stores across the states of São Paulo, Rio de Janeiro, and Espirito Santo, in addition to a widespread logistics network. The company serves approximately two million customers per month providing foods that travel from farm to the shelf usually within 24 hours, and reported 2014 revenue of US$255 million.

 

With the new partnership with Partners Group, Hortifruti plans to move forward on its plans for expansion.

 

"We are pleased to welcome Partners Group as our new business partner and look forward to working together to make Hortifruti's growth plans a reality,” said Antero Filippo, CEO of Hortifruti in a company statement. “We are aiming to grow while maintaining the quality of our products and customer experience and we believe Partners Group will make the ideal partner in this endeavor. The firm brings great depth of experience in the retail and food sectors, plus a strong industry network, all of which will be invaluable to the sustainable development of our business."

 

Upon the closing of the deal, which is expected to occur in the first quarter of 2016, the founding partners of Hortfruti will remain as the majority shareholders in the company. However, Gonzalo Fernandez-Castro, managing director and head of Latin American Private Equity at Partners Group, will gain a seat on the company’s board, giving Partners Group a say in governance over the direction of the company.

 

"We are very excited to partner with the founders, management and employees of Hortifruti in the long-term development of the Company,” said Mr. Fernandez-Castro. “We will work together with the aim of growing the firm within Brazil through a mix of acquisitions and new store openings, as well as enhancements to the existing stores and business lines.”