Pioneer Foods agrees to acquire fruit snacks producer Streamfoods

South African packaged food company Pioneer Foods has agreed to acquire Streamfoods, a UK-based fruit snacks producer.

This new acquisition is valued at £7.5m and will boost Pioneer Foods' position within the UK private label market, as well as its manufacturing capabilities.

Pioneer Foods owns brands including Safari dried fruit, Liqui-Fruit and Bokomo cereals.

The company was quoted by Bdlive.co.za as saying: "Pioneer Foods has extensive competence in the fruit snacking category, which bodes well for the development of the category and its brand position."

It is a leading producer of South African staples including cereals, rice and maize.

Streamfoods owns the Fruit Bowl brand, sells its products in the UK market and exports to Europe and China, reported Enca.com.

The organisation is wholly owned by the Wellness Group and manufactures fruit flakes and shapes, as well as yogurt fruit flakes and raisins.

Its products are sold within UK-based supermarkets, as well as online supermarket Ocado.