Woolworths to Acquire In2Food in Strategic Move to Strengthen Premium Food Offering
Woolworths to Acquire in2food in Strategic Move to Strengthen Premium Food Offering. Woolworths Holdings Limited (WHL) has announced its intention to acquire 100% of the shares in in2food, a privately-owned prepared foods manufacturer, from its founders, Old Mutual Private Equity, and other exiting shareholders.
In2food, based in South Africa, is one of Woolworths Foods’ most significant suppliers. The company generates annual revenue exceeding R5 billion through a diversified portfolio of premium private label products, including freshly prepared convenience foods, fresh produce, long-life categories, ambient goods, and bakery items. While Woolworths Food is in2food’s largest customer, the supplier also serves other local and international companies across food service and wholesale channels.
Announcing the transaction, Woolworths Group CEO Roy Bagattini highlighted the long-standing partnership between the two companies. “Woolworths and in2food share a more than three-decade history of partnership in creating products of outstanding quality and innovation to meet the evolving needs of our customers. This acquisition represents a compelling opportunity to bring a key strategic capability closer to the Woolworths Foods business, strengthening one of the core points of differentiation in our premium food offering,” he said.
In2food CEO Richard Cooper emphasized the continuity of operations, noting that the company’s experienced leadership team will continue to manage in2food as a standalone business within Woolworths. “The transaction further enhances Woolworths Foods’ ability to protect product quality, innovation and availability, which are core to its differentiated customer proposition. We look forward to further deepening our decades-long connection with Woolworths,” Cooper stated.
Bagattini stressed that the acquisition does not alter Woolworths’ broader food sourcing model, reaffirming the company’s commitment to maintaining strong supplier relationships. The deal is expected to be earnings accretive to Woolworths even before operational efficiencies are realized.
The purchase consideration will be settled in cash using Woolworths’ existing financing facilities. Completion of the transaction remains subject to regulatory and commercial conditions, including approval by South Africa’s competition authorities.
The acquisition marks a significant milestone in Woolworths’ strategy to reinforce its premium food offering and deepen integration with one of its most innovative suppliers.
