Partners Group has acquired a minority stake in Hortifruti. Financial term weren’t announced. Bozano Investimentos is the seller. Hortifruti, of Brazil, is a retailer of health foods including fruit and vegetables, dairy products, groceries and meats.
Partners Group, the global private markets investment manager, has agreed to acquire a significant minority stake in Brazil’s market-leading health food retailer Hortifruti (the “Company”) on behalf of its clients.
Founded in 1989, Hortifruti is Brazil’s number one premium retailer of health foods including fruit and vegetables, dairy products, groceries and meats, with products typically brought from the farm to the shelf within 24 hours. Hortifruti has 40 existing stores within the states of São Paulo, Rio de Janeiro and Espírito Santo, as well as a large logistical operation, and employs over 6’600 people to serve around 2 million customers per month. In 2014, Hortifruti generated over BRL 1 billion (approx. USD 255 million) in revenues.
Partners Group is acquiring the stake in Hortifruti from exiting local private equity firm Bozano Investimentos. Though Hortifruti’s founding partners will retain a majority shareholding in the Company following the transaction, Partners Group will be represented in the Board of Directors and has secured strong governance rights. The transaction is expected to close in Q1 2016 and is subject to antitrust approval. No financial terms are being disclosed.
Antero Filippo, CEO of Hortifruti, comments: “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. 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.”
Gonzalo Fernandez-Castro, Managing Director and Head of Latin American Private Equity at Partners Group, will join the Board of Hortifruti once the transaction completes. He states: “We are very excited to partner with the founders, management and employees of Hortifruti in the long-term development of the Company. 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. As a long-time customer of Hortifruti myself, I have seen firsthand the strength of the brand’s customer value proposition and the potential for growth.”
About Partners Group
Partners Group is a global private markets investment management firm with over EUR 42 billion (USD 47 billion) in investment programs under management in private equity, private real estate, private infrastructure and private debt. The firm manages a broad range of customized portfolios for an international clientele of institutional investors. Partners Group is headquartered in Zug, Switzerland, and has offices in San Francisco, Houston, New York, São Paulo, London, Guernsey, Paris, Luxembourg, Milan, Munich, Dubai, Mumbai, Singapore, Shanghai, Seoul, Tokyo and Sydney. The firm employs over 800 people and is listed on the SIX Swiss Exchange (symbol: PGHN) with a major ownership by its partners and employees.