Frutura closes on Subsole acquisition, plans "significant" expansion in Chile
This event opens the door to meaningful new investment, signaling Frutura’s confidence in Subsole’s growth potential and in the strength of its leadership.
Frutura CEO David Krause commented on Frutura’s “faith in their [Subsole] CEO, Juan Colombo, and in his team. Juan is that rare natural born leader who has built an extraordinarily capable and committed senior team. There is deep bench strength at every level at Subsole and our confidence in this brand cannot be overstated.”
There are a number of new packing and varietal-expansion initiatives in the works, but most immediately, Frutura is laser-focused on adding acreage to Subsole’s existing footprint.
Subsole is the largest Chilean exporter of table grapes to the U.S., Europe, Latin America and Asia. To date, the company has shipped 10 million boxes of fruits including citrus, avocados, cherries, pomegranates and kiwis, to customers in more than 40 countries.
Negotiations to acquire additional operations are close to being signed, which will exponentially increase Subsole’s export volume as a start, particularly with avocados and citrus.
Subsole’s new land will be in multiple Chilean geographies and in different growing zones. This will further diversify Frutura’s supply base and will give Subsole even greater flexibility to pack and sell.
Subsole’s CEO Juan Colombo said: “This has been an incredibly challenging year in Chile for fresh produce exports, with a logistics’ meltdown leading to escalating costs throughout the chain.”
“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,” he added.
When you add to this strong foundation, Frutura’s faith in us, and the level of investment they’re making, it feels that together we’re about to unleash the full power of the Subsole “machine,” added Colombo.
Subsole’s long-held commitment to the principles of ESG is foundational to Frutura’s brand. Subsole has sought to ensure that its policies and processes respect the environment and it was the first agricultural operation in Chile to design and install a photovoltaic power plant in Copiapó, making the energy captured clean and renewable.