Del Monte Pacific buys US canned foods business

October 11, 2013

SINGAPORE (AP) -- Del Monte Pacific Ltd. says it's buying the food business of a namesake U.S. company with top market share in canned fruit and vegetables for $1.68 billion

Del Monte Pacific, which is listed in Singapore and the Philippines, says Friday the deal with Del Monte Foods will add about $1.8 billion to its annual sales and $178 million to operating earnings.

The U.S. company owns the rights to the Del Monte brand in the U.S. and South America but is otherwise separate from the Asia-based Del Monte.

Del Monte Pacific, which owns one of the world's largest pineapple plantations, said it would benefit from owning brands that have significant market share in canned fruit, vegetables and broth in the U.S.