The US food and agribusiness firm Paine & Partners has acquired vegetable and legume seed producer Suba Seeds Company for an undisclosed amount.
Suba Seeds is a contract supplier to various seed companies and a packager and distributor of seed for use in hobby and professional gardening. It recently finished a high-throughput production facility.
Paine & Partners hopes to grow Suba’s market share by expanding its production into higher margin products and making strategic acquisitions, according to a press release.
“Our acquisition of Suba will provide Paine & Partners the opportunity to leverage our substantial in-house seed investment expertise and operating knowledge across the seed industry to build a global leading specialty vegetable seeds production platform,” said Kevin Schwartz, president and founding partner at Paine & Partners.
Paine & Partners invested in seed companies Advanta and Seminis through previous funds, but has exited both investments.
The acquisition of Suba Seeds is the second investment by Paine & Partners’ Fund IV. The agribusiness-focused fund acquired Spearhead International in July this year.
The fund closed at $893 million in January, exceeding its $800 million target. It is the largest private equity fund to date focused solely on food and agribusiness.