Ontario Teachers’ Pension Plan enters strategic partnership with Montague

SOUTHBANK, AUSTRALIA - Ontario Teachers’ Pension Plan (Ontario Teachers’) and its Australian agriculture subsidiary AustOn Corporation (AustOn) are pleased to announce that they have entered into a strategic partnership with Montague.

As part of this partnership, Pomona Valley, a subsidiary of Ontario Teachers’, will acquire a majority equity interest in Montague, with Scott Montague retaining an ownership stake in the business. Pomona Valley and Montague will merge to form one business with Scott taking on the role of General Manager of the merged operations.

Pomona Valley grows and packs significant volumes of pome and stone fruits in Victoria’s Goulburn Valley. The orchards are the product of 140 years of fruit-growing legacy in the region.

Montague is a vertically integrated grower, packer and marketer of fruit in Australia. With more than 70 years of operations and proud family history, Montague is the category leader across apples, supplying high-quality fresh produce to major supermarkets and wholesalers nationally; and into the export market.

AustOn is the Australian agriculture arm of Ontario Teachers’ and has operated in Australia since 2018. AustOn manages teams across various farms, namely Aroona Farms, which produces almonds in South Australia and Victoria, Jasper Farms, which produces avocados in Western Australia, Pomona Valley, which produces apples and stone fruit in Victoria, and Mitolo Family Farms, which produces potatoes and onions in Australia.

Ontario Teachers’ is committed to the long-term sustainable growth of Pomona Valley and Montague as they embark on the next phase as a merged business.

Scott Montague, Managing Director of Montague, said:

“The partnership with AustOn and the merger with Pomona Valley signals the next exciting stage in the growth of Montague. The financial backing of a global investor in agriculture opens a range of possibilities that both businesses have been keen to explore”

“The merger of the two businesses will cement the combined operation as a preferred supplier to domestic and international customers well into the future.”

Christopher Metrakos, Senior Managing Director, Natural Resources at Ontario Teachers’ said:

“Montague is at the forefront of the fresh produce industry in Australia, and we are excited to partner with Scott and the Montague team to continue providing innovative, sustainable, and quality produce for consumers globally.

Ontario Teachers’ and AustOn have a proven track record in investing in the farming sector both in Australia and worldwide, and we are focused on using this experience to deliver long-term, sustainable growth of Pomona Valley and Montague as a merged business.”

Completion of the transaction, which is subject to regulatory approvals and other customary closing conditions, is expected to occur in first half of 2024.

About Ontario Teachers’

Ontario Teachers' Pension Plan Board (Ontario Teachers') is a global investor with net assets of $249.8 billion as at June 30, 2023. We invest in more than 50 countries in a broad array of assets including public and private equities, fixed income, credit, commodities, natural resources, infrastructure, real estate and venture growth to deliver retirement income for 336,000 working members and pensioners.

With offices in Toronto, London, Hong Kong, Singapore, Mumbai and San Francisco, our more than 400 investment professionals bring deep expertise in a broad range of sectors and industries. We are a fully funded defined benefit pension plan and have earned an annual total-fund net return of 9.4% since the plan's founding in 1990. At Ontario Teachers', we don't just invest to make a return, we invest to shape a better future for the teachers we serve, the businesses we back, and the world we live in. For more information, visit otpp.com and follow us on LinkedIn.

Media Contacts:

For AustOn

Tim Lee, AustOn CEO
Phone: 0409 149 643
Email: tim.l@austoncorp.com.au

For Ontario Teachers’:

Dan Madge
Ontario Teachers' Pension Plan
Phone: +1 416-419-1437
Email: media@otpp.com