Strategic acquisition is one of the most significant means of growth that a business can adopt. It is less expensive, less risky, and a faster proposition than the conventional methods of growth that were realized through extended marketing and sales efforts. Besides, acquisition offers a plethora of other benefits including instant business savings prompted by economies of scale and easier financing for other future business undertakings.
OSI Group is one of the companies that has recently leveraged on the benefits that come with strategic acquisition. The premier global food giant recently acquired Baho Food, a leading Dutch manufacturer of snacks, convenience foods, and deli meat.
David G. McDonald, the chief operating and the president of OSI group, believes that this acquisition will give the company a broader presence in Europe. According to McDonald, Baho’s good portfolio of products and brands is a perfect complement to OSI current food manufacturing and processing strengths, and will go a long way in broadening the capabilities of OSI to best serve the growing needs of their clients.
Baho Foods has five subsidiaries with established processing plants in the Netherlands and Germany. These include Vita Convenience, Q Smart Life, Gelderland Frischwaren, Bakx Foods, and Henri van de Bilt.
David McDonald plans to keep John Balvers, the Managing director of Baho Food and his team of managers, a move that will significantly help him coin a working growth strategy for the newly merged companies. Mr. Blavers was also excited about the deal stating that the OSI Group has had a remarkable relationship with its clients and suppliers, and being part of the company, Baho will have a great platform to leverage on the its (OSI Group’s) capabilities and industry experience.
About David McDonald
David McDonald is the current president of OSI Group. He has worked for the company for over 30 years and has helped it achieve marvelous growth. He has also served as the Marfrig Global Foods S.A’s independent director since 2008. David G. McDonald is an alumnus of Iowa State University where he studied Animal Science (from 1983 to 1987).