Stake Reaches Agreement to Acquire Dakota Gourmet
TORONTO--Oct. 30, 2003--Stake Technology Ltd. (To
become "SunOpta Inc." effective October 31, 2003) (Nasdaq:STKL)
(TSX:SOY) announced today that it has reached an agreement to acquire
100% of the shares of Sonne Labs, Inc. (operated as "Dakota Gourmet")
of Wahpeton, North Dakota.
Dakota Gourmet is a small, fast growing company focused on the
manufacture of innovative natural and organic snack foods using soy,
corn and sunflower ingredients. These products are sold under the
Dakota Gourmet brand and are also produced for private label
customers.
The company's operations capabilities include roasting, blending
and packaging and its products are marketed to the United States
school program, various manufacturers, retailers and distributors.
Dakota Gourmet and Kettle Valley, a wholly-owned subsidiary of Stake,
will co-ordinate their future marketing and product development
programs.
In the most recent twelve months, Dakota Gourmet had sales of
approximately US $3.5 million and is a profitable company.
Jeremy Kendall, Chairman and CEO of Stake commented that, "The
acquisition of Dakota Gourmet along with the previously announced
acquisition of the business and operating assets of Sigco Sun Products
further expands our healthy snack product offering and completes the
vertical integration of the sunflower business from field to table."
Compensation in this transaction includes cash and contingent
payments based on meeting future earnings objectives. Closing of this
transaction is subject to finalization of definitive agreements and is
targeted for October 31, 2003.
Stake Technology Ltd., to become SunOpta Inc. effective October
31, 2003, is an owner/operator of high-growth ethical businesses,
focusing on integrated business models in the natural and organic food
markets. For the last five consecutive years, Stake was included in
Profit magazine's 'Profit 100' list of the 100 fastest growing
companies in Canada. The company has three business units: the Food
Group, which specializes in sourcing, processing and distribution of
natural and organic food products; integrated from seed through
packaged products; the Environmental Industrial Group; a producer,
distributor, and recycler of environmentally friendly industrial
materials; and the Steam Explosion Technology Group who engineer and
market clean pulping systems using patented steam explosion
technology. Each of these business units has proprietary products and
services that give it a solid competitive advantage in its sector.
Websites: www.staketech.com or www.sunopta.com www.sunrich.com
www.bei.ca www.steamexplosion.com www.sunrichvalley.com
www.organickitchen.ca www.wildwestorganicharvest.com
www.kettlevalley.net www.opta-food.com www.proorganics.com
CONTACT: Stake Technology Ltd.
Jeremy N. Kendall, Steve Bromley, Susan Wiekenkamp
Tel: 905-455-2528, ext 103
info@staketech.com
or
Investor Relations Counsel
The Equity Group Inc.
Linda Latman, 212-836-9609
www.theequitygroup.com
SOURCE: Stake Technology Ltd.