New Zealand-based horticulture to food ingredients company Scales Corporation Ltd. has agreed to enter into a pet food joint venture (JV) with meat and co-products processor Alliance Group Ltd.
Under the terms of the joint venture, Alliance will pay $15 million to buy a 50 percent interest in Scales’ subsidiary and pet food distributor and processor Meateor Food Ltd.’s New Zealand business and operations.
Alliance said that the JV expands its downstream reach, allows the company to become vertically integrated and ensures Alliance has an end-to-end connection with the market.
Scales Corp. said that the JV with Meateor represents the next step in its pet food ingredients strategy.