30 Jun 2008

Starkist sale formalised

3:02 pm on 30 June 2008

San Francisco-based Del Monte Foods has formally announced the sale of its Starkist Seafoods to South Korea's Dongwon Group for 363 million US dollars.

Starkist operations include a major cannery in American Samoa.

The Del Monte chairman and CEO, Rick Wolford, says the divestiture of the business is a significant step in realigning the company portfolio toward higher margin, higher growth businesses.

He says Starkist, because of its heavy dependence on a single input cost in a low growth industry, was no longer an ideal fit for Del Monte.