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Cobram Estate Olives, the Australian olive oil producer, has entered into a binding agreement to acquire California Olive Ranch (COR) for a total consideration of $173.5 million.
The transaction for COR, a vertically integrated olive oil firm based in California, consists of $88.5 million in cash, $70 million in vendor notes, and an earn-out payment of $15 million. COR manages approximately 1,870 hectares of olive groves and is the producer of the California Olive Ranch brand, the top-selling Californian extra virgin olive oil in the US. The company operates a mill, bottling facility and storage site in Artois (CA), and is forecast to generate $150 million in net revenue and $16 million in EBITDA for fiscal 2026.
Cobram Estate Olives chair Rob McGavin commented: “The acquisition of California Olive Ranch, Inc., delivers a compelling set of strategic and financial benefits for CBO. It immediately expands our Californian olive growing footprint from approximately 1,422 hectares to around 3,292 hectares of planted groves, while accelerating sales growth through the addition of well-established, premium household brands”.
The deal follows Cobram Estate Olives’ previous US expansion efforts, including a $115.6 million share issue in September to fund land development. Synergies from the acquisition are expected to reach $12 million by 2027 and over $20 million annually by 2030.
Source: Cobram Estate Olives / Just Food
