July 26, 2021

By Lynda Kiernan-Stone, Global AgInvesting Media

Global fruit genetics and licensing company Sun World announced it has expanded its presence in Australia with the addition of licensed grape grower and marketer Fresh Produce Group of Australia (FPG). 

Through this agreement, FPG now joins Sun World’s licensees Costa Group, Perfection Fresh/Fruit Masters, and Fruitico.

“It’s a pleasure to announce this exciting expansion in Australia,” said Garth Swinburn, vice president, licensing, Sun World.  “It has been a substantial period since our establishment in Australia nearly 20 years ago.  This decision is an important move for our company as we position to meet broader market and consumer demand for our varieties in the Australasia region.”

Sun World’s core business is to develop new fruit varieties able to be grown in a sustainable way offering high yields, optimum flavor, and appearance. To fuel this work being accomplished by its teams of plant breeders, researchers, agronomists, and technicians, Sun World opened a Center for Innovation near Bakersfield, California, last year featuring a 17,000-square-foot building, including specialized facilities for tissue culture and molecular breeding, and a 160-acre experimental research farm.

Currently, the company holds more than 300 plant patents, and views its Center for Innovation as giving it a key advantage in advancing their pipeline of fruit genetics. This anticipated growth will be both organic, and through investment in and the acquisition of, new genetics and emerging technologies.

Established in 1991 by Executive Chairman Robert Nugan, FPG has grown to become one of Australian most innovative produce suppliers.

“Table grapes are FPG’s largest fruit category.  Being able to source and grow Sun World’s leading genetics is critical to meeting our goals. FPG looks forward to building an integrated and lasting partnership with Sun World,” said Nugan.

As a new marketer, FPG has been granted rights to distribute fruit from existing and new varieties developed by Sun World under the company’s canopy of brands including AUTUMNCRISP®, MIDNIGHT BEAUTY®, SABLE SEEDLESS®, ADORA SEEDLESS®, SCARLOTTA SEEDLESS®, and SONERA SEEDLESS®.

With both high demand at home and geographic proximity to Asian markets, Australia is a strategically important production area for Sun World’s global supply program. This expansion is also indicative of the shift happening away from traditional table grape varieties to superior proprietary varieties, such as the ones being bred at Sun World’s Center for Innovation.

“I’m excited to welcome this impressive organization to the global Sun World community,” continued Swinburn. “We are truly confident that FPG will further add to the prosperity of our growers in Australia and the broader industry.”

Bridgepoint

This deal for FPG comes only a few months after Sun World was itself acquired by international private equity group Bridgepoint in April of this year. 

This deal followed a transformative period of ownership by Renewable Resources Group and Vision Ridge Partners during which Sun World divested its substantial farming, packing, and marketing operation to focus fully on its breeding and licensing business.

At the time, Sun World stated that it intended to use the capital it gained to support its growth trajectory by building out a broad genetics platform for specialty fruit growers.

“Sun World was part of the first wave of genetic innovation for produce, establishing a recurring royalty business model that has enabled it to prioritize its R&D innovation,” said Andrew Sweet, partner and head of investment activities for North America with Bridgepoint in April.

“Today it enjoys a market-leading reputation with the largest growers, distribution partners and retailers globally thanks to its cutting-edge molecular techniques, and breeding processes. We expect to continue to invest in new technologies that benefit growers and consumers alike.”

– 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 Oilseed & Grain News. She can be reached at lkiernan-stone@globalaginvesting.com.