In the past, Verve has been owned by an oil company, but it now has a foothold in the juice-making business, and the acquisition signals a shift in its strategy.
Verve’s new owner, Suncor Energy Inc., said it’s expanding into the food industry and hopes to grow the business to $50 billion by 2020.
In the process, it is expected to add to its portfolio of brands including fruit guavas, mangoes, cherries, apricots, blueberries, grapes and citrus.
The deal, valued at $50.2 billion, includes more than 1,200 employees.
The acquisition was announced Monday.
“We are delighted to acquire Verve as we continue to advance our mission of transforming the future of fruit,” said Suncor Chief Executive Tom Wirch.
“The company’s diverse portfolio of products and expertise will continue to grow, as well as our ability to continue expanding our operations and our workforce across the globe.”
The acquisition comes as a number of smaller juice makers are looking to enter the juice market.
“It’s a very positive signal for the industry,” said Mike Moulton, executive director of the Natural Products Association of the United States.
“They are really taking the fruits to market, which means they are also becoming part of the ecosystem.”
Suncor said the new business will be headquartered in the U.S. The company plans to create 150,000 jobs in its U.K. plant and will also open an additional plant in Germany.
The merger follows a year in which the U,S.
and China all added juice makers.
Vervais Fruit, a Florida-based company, announced plans last year to buy a large juice maker in the United Kingdom.
That deal collapsed when Vervas management realized the deal would have included a $25 million payment to Suncor for controlling the British fruit.
The U.k. company announced plans in October to buy Vervain, a Dutch juice maker that also had a large U.N. takeover payment.
That takeover agreement, too, fell apart in the wake of Vervains acquisition.