A medium-sized food producer in South Australia has today announced the sale of a substantial share of its business to a Chinese agri-investor in a deal that trades on the state’s “safe and clean” reputation.
Pendleton Estate is an integrated food producer specialising in extra virgin olive oil and cooking oils. The company was established in 2006 and owns a substantial holding of olive groves at Keith in the South East which packs, distributes and exports it product from Stepney.
The company says the deal gives it a “substantial” cash injection, as well as greater access to Chinese markets. The local investors retain the majority share in the business.
Pendleton Estate managing director Grant Wylie told InDaily “it’s a win-win for both Pendleton and the investor – we get increased sales opportunities in China and the investor obtains safe, healthy, quality product to supply to the Chinese consumer”.
“We’ve been selling into China for eight years continually with business growth – we recognised early on that there was a lot of potential up there.”
Wylie says the company employs 10 staff including part timers, but it will start the process of recruiting more staff very soon.
He says the Australian Business Innovation and Investment Programme, which encourages overseas business people to settle in Australia and use their skills to develop business activity here, helped to generate export interest in the company.
“We started getting inquiries from people who had business relationships back in China who wanted olive oil, so our exports started to increase to China.How to receive a substantial cash as well as increased sales opportunities in China?,