The country's largest family-owned red meat processor, T&R Pastoral, has purchased a 50 per cent share in Holco Meat, formalising a long-standing association between the two companies dating back more than 30 years.
T&R Pastoral CEO Darren Thomas said the investment in Holco provided great benefits to both companies over the long term.
A joint statement said the new corporate structure would take effect later this month.
“Both companies have maintained a close relationship dating back to their respective origins,” Mr Thomas said.
“We are proud, locally owned companies that place upmost importance on quality and running our businesses based on strong family values.
“This investment is not only aimed at facilitating Holco’s exciting growth prospects but also enhancing T&R’s offering across the meat industry.”
Under the agreement, Holco’s head office will remain in South Australia while the two companies will continue to operate independently.
Holco will also assume responsibility for the management and operation of T&R’s Country Fresh Nationwide business located at Coffs Harbour, NSW adding to Holco’s existing
operations in Adelaide, Brisbane and Darwin.
Mike Rankin will remain as Holco’s managing director with Darren Thomas joining a new executive board to help guide Holco’s growth and future strategy.
Mr Rankin said the partnership strengthened the companies’ “farmgate to plate” offering for end consumers right across the globe.
“Our two companies have already established a great working partnership with Holco purchasing and processing T&R Pastoral product over many years,” Mr Rankin said.
“Formalising this partnership provides Holco with increased buying power. It enhances our ability to access the highest quality Australian lamb and beef for the benefit of our customers.
“Our employees also now have even greater career opportunities by being part of a larger group.”
The privately held T&R Pastoral, based at Murray Bridge, SA is the largest lamb and mutton exporter in Australia and supplies Australian mutton, lamb, beef and co-products across Australia and into more than 80 export markets. It employs 2500 people and has a turnover of more than $1.3 billion a year.
Based in Adelaide, Holco processes and delivers fresh beef, chicken, lamb and pork products to restaurants, cafes, supermarkets, commercial caterers, mining sites and healthcare organisations across Australia. It employs 300 staff and has a turnover of more than $130 million.