Paine Schwartz Partners-led consortium (with Driscoll's and BCI) → Costa Group
completedA consortium led by US agri-focused PE firm Paine Schwartz Partners, with berry grower Driscoll's and Canadian pension manager BCI, signed a scheme implementation agreement to acquire ASX-listed fruit and vegetable grower Costa Group at A$3.20 cash per share, an enterprise value of approximately A$2.46 billion. Completed 26 February 2024.
Paine Schwartz and Driscoll's, an existing Costa shareholder, sought to take full control of a leading Australian fresh produce grower and expand their global berry and produce supply chain.
Costa's board recommended the offer after unfavourable growing conditions led to a $30 million write-down and a reduced offer price, judging it the best available outcome for shareholders.
Costa shares rose roughly 9% when Paine Schwartz first disclosed its ~13.78% stake in October 2022; specific share-price reaction to the September 2023 binding scheme agreement was not confirmed in sourcing.
Deal mechanics
Allens (legal, to Paine Schwartz-led consortium)
Scheme of arrangement — A$3.20 cash per share
Federal Court of Australia approval and Costa shareholder approval