RCL Foods [JSE:RCL] – which owns well-known brands such as Ouma Rusks, Yum Yum Peanut Butter and Rainbow Chicken – has inked a deal with Imperial Logistics that will see it operating a more efficient cold chain, the company said on Wednesday.
The company did not say what the value of the deal was.
In food distribution, a cold chain refers to a temperature-controlled supply chain, which helps prolong shelf life and keep the produce fresh.
In addition to the abovementioned brands, RCL brands also include Pieman's pies, Nola mayonnaise, Selati sugar, Rainbow Chicken, and various pet foods.
Imperial Logistics is a mover of automotive, chemical and consumer goods in South Africa and internationally, with networks in 32 countries. It is operated by over 27 000 people, according to its website.
In a statement on the JSE Stock Exchange News Service, RCL said its logistics division, namely Vector, had entered into an agreement with Imperial Logistics South Africa to acquire certain assets and staff relating to its cold chain business.
The deal would allow for the consolidation of two separate temperature-controlled distribution networks into one synergised network, RCL said.
All relevant approvals have been obtained and the transaction is effective from December 1, the statement said.
Compiled by Marelise van der Merwe