IFCO Systems has staked a position in one of my favorite South American countries, Chile. (Truth be told, my LinkedIn photo that people often assume is from Canada – it is not! It was taken a few years ago at Lago Gris in Patagonia, Chile.) IFCO, a Brambles Company, has purchased Renta Pack S.A. (“Rentapack”), Chile’s leader in the provision of reusable plastic crate (RPC) pooling services. The deal was inked on May 18, 2015.
“This acquisition is consistent with our strategy of complementing our organic growth in attractive segments and geographies by acquiring companies that have a leading market position, strong financial returns and promising growth outlook,” comments IFCO SYSTEMS’ CEO, Wolfgang Orgeldinger. “Rentapack has all of these characteristics.
“We are excited about building on Rentapack’s strong position in the Chilean fresh food supply chain to deliver value for retailers, growers and producers. The acquisition will drive step change for IFCO’s RPCs footprint in Latin America.”
Rentapack generated sales revenue of US$19 million and about 40 million RPC rentals in the 2014 calendar year, and is forecasting strong growth over coming years as it increases penetration with major retail partners and launches RPC products in sectors such as bakery.
Rentapack was founded in 2003 and to this point had been privately owned. It has four service centres in Chile and approximately 230 employees. The business serves major retailers Cencosud, Walmart, Unimarc, Montserrat and Tottus, as well as approximately 800 fresh produce growers.