Alantra Prepares Surexport Sale Amid Berry Market Strength

Alantra Private Equity is preparing to divest its stake in Surexport, a prominent Spanish producer of berries, signaling a potential exit valued at over €600 million. The move comes as the firm seeks to capitalize on the robust performance of the global berry market, which has seen sustained demand driven by consumer preferences for healthy and convenient food options. Industry analysts note that the premium segment for high-quality, sustainably sourced produce continues to expand, making companies like Surexport attractive targets for financial sponsors.

The Spanish financial services group's private equity arm acquired a majority stake in Surexport in 2020. Since then, the company, founded in 1994 and headquartered in Huelva, has significantly expanded its operations. Surexport, known for its strawberries, raspberries, blueberries, and blackberries, now boasts cultivation sites across Spain, Portugal, the Netherlands, Peru, and Morocco, serving major European retail chains. The firm's revenue has nearly doubled since Alantra's initial investment, reaching approximately €400 million, with a substantial 75-80% generated from international sales.

Alantra has reportedly engaged ING to manage the potential sale process, which is anticipated to commence after the summer. This strategic review includes exploring options such as a continuation fund, a structure Alantra has utilized previously. For instance, earlier this year, the firm raised a €155 million vehicle to extend its investment in the genetic diagnostics company Health in Code. This approach allows existing investors to maintain exposure to a promising asset while providing liquidity.

Financially, Surexport recently secured a significant debt refinancing package totaling around €250 million. This included a €150 million loan earmarked for investments aimed at accelerating future growth. The company's earnings before interest, taxes, depreciation, and amortization (EBITDA) are projected to fall between €50 million and €60 million for the fiscal year ending August 31st. Based on current market multiples for comparable businesses in the agricultural and food production sectors, the company's valuation is expected to surpass the €600 million mark.

The founding family, led by CEO Andrés Morales, is expected to retain a significant stake and continue managing the business post-acquisition. This continuity is often a key factor for buyers seeking to preserve operational expertise and market relationships. Surexport's diversified customer base includes major retailers, with Mercadona being its primary client in Spain, though representing only about 15% of global sales, underscoring the company's broad market reach.

The planned divestiture by Alantra highlights the ongoing consolidation and investment activity within the agri-food sector. Companies demonstrating strong growth, international reach, and a commitment to quality are drawing considerable investor interest. The berry segment, in particular, benefits from favorable consumer trends and a relatively resilient supply chain, positioning Surexport as a compelling asset in the current M&A environment.