👉 Background: SPC Global is the food manufacturer best known for its diced fruit snacks for kids. It generated $271 million in revenue for the 2024 financial year. In comparison, Original Juice Company made about $49 million and powdered milk maker, Nature One Dairy posted $46 million.

👉 What happened: These three food manufacturing companies are now merging into one big beast, hoping to maximise the unique strengths that can generate more than $400 million in revenue.

👉 What else: The goal is for the three companies to leverage their unique positions to help each other:

• SPC will provide Original Juice Company with extra manufacturing capacity to meet higher demand,
• Nature One Dairy will give the others access to the Asian market.

Ultimately, SPC is one giant step closer to building what it calls the ‘Nestle of Australia’.

What's the key learning?

💡To expand globally successfully, you need to have the right product mix and the right infrastructure in place.

💡SPC has fruiti-licious ambitions of entering into Asia Pacific, then the Middle East, and then Europe. Right now, ~95% of Nature One Dairy’s products are sold in 13 Asian countries so SPC and Original Juice Company would want to take advantage of this network.

💡SPC are hoping that the expansion overseas could potentially offset some of SPC's challenges in Australia.