Mission Produce is acquiring longtime competitor Calavo Growers in a cash-and-stock transaction that will significantly reshape the North American avocado landscape and broaden Mission’s presence across the fresh produce and prepared foods markets.
The deal brings together two of the most recognizable names in avocados. Mission Produce, a global leader in sourcing and distributing the fruit, noted the transaction strengthens its vertically integrated platform, expands its supply network in Mexico and California and accelerates diversification into new produce categories and value-added foods.
The company expects around $25 million in cost synergies within 18 months of closing, with potential for further gains.
“This acquisition marks an important milestone for Mission and for our industry,” said Steve Barnard, co-founder and CEO of the company. “By bolstering Mission’s vertically integrated platform and trusted global distribution network with Calavo’s complementary sourcing, prepared foods capabilities, and deep customer relationships, we intend to build a stronger, more diversified company positioned for sustainable growth.”
Under the agreement, Calavo’s extensive operations, which includes fresh avocados sourced from multiple countries, tomatoes, papayas and a growing portfolio of ready-to-eat items such as guacamole and salsas, will be integrated into Mission’s global network.
Founded more than a century ago, Calavo is widely regarded as the original North American avocado company and has grown into a multinational supplier serving major retailers and foodservice operators.
Incoming Mission CEO John Pawlowski, currently the company’s president and COO, noted the acquisition aligns closely with Mission’s long-term strategy.
“With this acquisition, we strive to expand our premium avocado position in North America and create a leading global fresh produce platform,” he said. “We believe this transaction enhances the value we deliver to our customers, growers, and partners.”
For Mission, the deal represents a significant expansion of its sourcing capabilities in Mexico—the top supplier of avocados to the United States. Once the transaction closes, Mission will operate four packinghouses in Mexico, including Calavo’s facilities in Michoacán and Jalisco.
The expanded footprint will strengthen supply reliability and provide more consistent year-round volume for retailers and foodservice buyers.
The acquisition also marks Mission’s entry into the fast-growing prepared foods sector. Calavo’s value-added business, especially its guacamole production, complements Mission’s existing ripening, packaging and distribution operations.
- John Lindeman, Calavo’s president and CEO, noted the merger represents an opportunity to accelerate the company’s evolution.
“We believe combining with Mission represents a compelling next chapter that will enable our combined business to unlock new growth and expand the impact of our trusted Calavo brand,” he said. “By joining a larger global platform, we will be better positioned to invest, innovate, and serve the market at scale.”
Beyond avocados, the combined company will offer an expanded array of produce categories, from mangos and blueberries which are already part of Mission’s portfolio, to Calavo’s tomato and papaya programs.
Additionally, the combined company will remain focused on delivering value to growers, customers and shareholders, with the integration expected to fuel EBITDA growth and long-term operational benefits.
The transaction remains subject to customary closing conditions.
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About the Author
Keith Loria
A graduate of the University of Miami, Keith Loria is a D.C.-based award-winning journalist who has been writing for major publications for more than 20 years on topics as diverse as healthcare, travel, sports and produce.
