Dole Sells Fresh Vegetables Division to Private Equity Firm

Dole plc has found a new buyer for its fresh vegetables division — a divestiture the company initially attempted to make to Fresh Express Inc. in 2023 but then decided to cancel in 2024 in the face of a U.S. Department of Justice objection that threatened that transaction’s completion.

Instead, a portion of the Dole Fresh Vegetables Division has been sold for $140 million to Arable Capital Partners LLC, which will combine it with its organicgirl LLC business (under og Holdco LLC). Dole will retain the Huron, Calif., and Yuma, Ariz., facilities post-transaction.

The Fresh Vegetables Division includes processing and sale of whole produce: iceberg, romaine and leaf lettuce, cauliflower, broccoli, celery, asparagus, artichokes, green onions, sprouts, radishes, and cabbage, as well as salads and salad kits, the company noted. It includes agricultural operations and three processing plants in the U.S. — employing more than 3,000 people.

It has been a long road to this ultimate outcome for the business. As mentioned above, Dole had worked out an agreement to sell the division to Fresh Express in February 2023 for about $293 million. However, after the U.S. DOJ expressed that it would pursue litigation to prevent the transaction from closing, Dole called off the deal and returned to the drawing board in March 2024.