On January 14, 2026, Mission Produce, Inc. entered into a definitive cash-and-stock agreement to acquire Calavo Growers, Inc. The transaction values Calavo at an enterprise value of approximately $430 million and represents a premium of 26% over Calavo’s 30-day volume-weighted average share price of $21.41. Under the terms, each Calavo share will be exchanged for $14.85 in cash and 0.9790 shares of Mission common stock, based on Mission’s 30-trading day VWAP ending January 13.

Upon closing, currently anticipated by the end of August 2026 pending regulatory and shareholder approvals, Mission shareholders are expected to own roughly 80.3% of the combined company, while Calavo shareholders will own about 19.7%. The Boards of Directors of both companies have approved the transaction, and customary closing conditions include receipt of required antitrust clearances and the approval of both companies’ shareholders.

The acquisition expands Mission’s vertically integrated avocado platform by adding Calavo’s two packinghouses in Michoacán and Jalisco to Mission’s existing Mexican operations, creating four total facilities in Mexico. It also diversifies Mission’s produce portfolio with Calavo’s tomatoes, Hawaiian papayas and value-added prepared foods such as guacamole and salsas. Management expects the combined distribution network to improve year-round supply consistency, better utilize infrastructure during off-peak avocado seasons and capitalize on growing demand for convenient, fresh and healthy prepared foods.

Mission projects approximately $25 million of annualized cost synergies within 18 months of closing, driven by logistics optimization, procurement efficiencies and consolidated ripening and packaging operations. Management forecasts that these synergies, combined with revenue growth from an expanded product portfolio and enhanced global distribution, will drive significant EBITDA expansion and free cash flow generation for the combined fresh produce platform.