SunOpta Announces Acquisition of Purity Life Health Products
TORONTO--Sept. 21, 2006--SunOpta Inc. (SunOpta or the Company) (Nasdaq:STKL) (TSX:SOY). SunOpta announced today that it has acquired 100% of the business and assets of Purity Life Health Products ("Purity") and related companies.
Purity, which is located in Acton, Ontario, just West of Toronto, distributes a wide range of health and beauty aids, vitamins, supplements and nutraceuticals. Purity operates warehousing and distribution operations to service customers across Canada and also operates a packaging facility where a number of supplement and nutraceutical products are produced under the brand names Nature's Harmony, Vivitas and RxBalance. The company employs 155 people, including a national sales force, and is Canada's largest independent supplier of natural health care products to all channels of distribution, including health professionals.
Purity has a long history of profitable sales across Canada including limited sales to the U.S. Revenue in the current year will be approximately US $50 million.
The acquisition is projected to be immediately accretive to SunOpta's earnings and the Purity operations will form a key component of SunOpta's rapidly growing natural, organic and specialty foods distribution business in Canada. The addition of natural and organic health and beauty aids, vitamins, supplements and nutraceuticals is consistent with SunOpta's strategy to expand the breadth of complimentary products and services offered to its current customer base across Canada.
David Chapman, President of Purity commented "We are delighted to have Purity become a part of the growing SunOpta family. The values of SunOpta are consistent with those of Purity and we are confident that the combination of our business will serve to provide improved customer service and product offerings to our valued retail partners."
Jeremy N. Kendall, Chairman and Chief Executive Officer commented "SunOpta has been distributing some of Purity's products in Western Canada for sometime and we are delighted that Purity has now become part of the SunOpta group of companies. The addition of Purity is consistent with our stated objectives to broaden the range of products that we can offer our customers across Canada, and we could not be more pleased with this acquisition."
About SunOpta Inc.
SunOpta Inc. is an operator of high-growth ethical businesses, focusing on integrated business models in the natural and organic food markets. The Company has three business units: the SunOpta Food Group, which specializes in sourcing, processing and distribution of natural and organic food products integrated from seed through packaged products; the Opta Minerals Group, a producer, distributor, and recycler of environmentally friendly industrial materials; and the SunOpta BioProcess Group which engineers and markets proprietary steam explosion technology systems for the pulp, bio-fuel and food processing industries. Each of these business units has proprietary products and services that give it a solid competitive advantage in its sector.
Certain statements included in this press release may constitute "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to references to business strategies, competitive strengths, goals, capital expenditure plans, business and operational growth plans and references to the future growth of the business. These forward looking statements are based on certain assumptions and analyses made by the Company in light of its experience and its interpretation of current conditions, historical trends and expected future developments as well as other factors that the Company believes are appropriate in the circumstance. However, whether actual results and developments will agree with expectations and predications of the Company is subject to many risks and uncertainties including, but not limited to; general economic, business or market risk conditions; competitive actions by other companies; changes in laws or regulations or policies of local governments, provinces and states as well as the governments of United States and Canada, many of which are beyond the control of the Company. Consequently all forward-looking statements made herein are qualified by these cautionary statements and there can be no assurance that the actual results or developments anticipated by the Company will be realized.
CONTACT: SunOpta Inc.
Jeremy N. Kendall, Steve Bromley, John Dietrich,
Susan Wiekenkamp, 905-455-2528, ext 103
Investment Community Inquiries:
Lytham Partners, LLC
Joe Diaz, Robert Blum, Joe Dorame, 602-889-9700
SOURCE: SunOpta Inc.