Olam International has expanded its capacity in almond ingredients with the $54 million acquisition of Californian almond processor Hughson Nut Inc (HNI).
Olam said that HNI’s processing capabilities will allow it to offer a “fully integrated solution” across the almond value chain from the US, including processed whole nuts and value added ingredients.
As well as processing almonds in California, HNI also manufactures almond ingredients – such as almond flour – at its newly commissioned ingredients processing plant.
“Our ambition is to grow Olam’s almond business into a vertically integrated player with a strong upstream presence in Australia and the US and direct participation in the primary and ingredient processing space that can add value to our customers,” said Ashok Krishen, Managing Director of Olam and CEO of the company’s Edible Nuts business.
“We see growing demand from consumers for healthy snacks and healthy plant protein – this is driving growth in new product applications and therefore the demand for almond ingredients, particularly in the US.
“Combining HNI’s processing capabilities with Olam’s global network and Edible Nuts expertise will enhance our offering to customers and enable us to meet growing demand, in and outside the US.”
HNI’s senior executive team and its 400 employees will continue to manage the existing operations and grow the ingredients business while leveraging and benefitting from the synergies and capabilities of the combined business.
The grower-family vendors will also continue to supply HNI with almonds for processing, Olam said.