Fresh produce company Dole has agreed a deal to sell its 65% equity stake in Progressive Produce to PTF Holdings, the parent company of Pacific Trellis Fruit (PTF).
PTF Holdings is a portfolio company of Arable Capital Partners.
Dole said it will receive gross cash proceeds of $120.25m from the sale.
Progressive Produce was a subsidiary of Dole and was part of the Diversified Fresh Produce - Americas and Rest of World reporting segment.
Progressive Produce, located in Los Angeles in California, is a grower, packer, and distributor of conventional and organic produce to the retail, wholesale and foodservice sectors in the US and Canada.
Founded in 1967, it is now one of California's biggest produce companies with annual sales in excess of $400m.
The deal is expected to close in March, subject to the satisfaction of customary closing conditions.
Dole said the net proceeds from the sale will be mainly used for its debt reduction.
Carl McCann, Executive Chairman of Dole , said that since the company's initial investment in Progressive Produce in 2016, the business has been a strong performer within the group.
"We would like to thank the current and former management teams for their dedication, passion, and significant contributions to the growth of this business over the time that we have been partners. The proceeds from this sale will further strengthen our financial position and enhance the Group's focus on, and investments in, our core activities," Mr McCann added.
