Heyburn, Idaho-based distributor 20/20 Produce Sales Inc., which markets potatoes, apples and onions, has been acquired by RM Investors Inc.
20/20 Produce Sales, now a public company, had net sales of $15.9 million in 2013 and a net profit of $0.4 million.
RM Investors agreed to issue 4.8 million stock shares to acquire 20/20 as a subsidiary in a deal still to be finalized, according to a news release. RM Investors plans to change its name to 20/20 Global Inc., which will result in a new stock symbol.
Upon completion and as a result of other recent transactions, former 20/20 Produce stockholders will own 5.4 million shares, or about 90%, of RM Investors shares, with the remainder held by RM’s former managers.
20/20 Produce directors and shareholders have been elected as directors and officers of RM Investors. The new board consists of Mark Williams, Robert Williams, Tom Wason and Colin Gibson. At 20/20 Produce, Robert Williams is founder; Mark Williams, chief operating officer; Wason, president; and Gibson, vice president of sales.
The new board also approved a two-for one forward stock split of roughly 6 million shares, which when finalized will put the total at about 12 million.
The acquisition was announced March 15.
20/20 Produce Sales was founded in 1993 and ships year-round from 15 facilities.