SPC Global on mission to become a global leader in food and beverage

It’s been a rocky start for SPC Global since its relisting on the ASX, but chief executive Robert Iervasi says the fundamentals of the business remain strong.

For many years, Shepparton-based food and beverage company SPC was a household staple, known for products like packaged fruit, baked beans, tinned spaghetti and fruit snacks — a true icon of the Australian pantry.

Then late last year, SPC underwent a reverse takeover, merging with the Original Juice Company, Nature One Dairy, and Natural Ingredients to form a new company, SPC Global. The move aims to transform the business from an iconic regional Australian brand to a global leader in the food and beverage industry.

“The SPC Global of tomorrow will be very different to that of the past. While SPC may be steeped in history, the new SPC Global is young, dynamic, ambitious and poised for growth,” chief executive Robert Iervasi said.

“Historically, the SPC business operated as a co-op and processed all the fruit and tomatoes that local growers could produce. We’re changing that and becoming a more customer and consumer centric, agile channel-led business.”

Robert Iervasi, when he was Group chief executive of Asahi Beverages at the 2022 Global Food Forum. Picture: Arsineh Houspian

That the company is poised for growth will be music to the ears of potential and current investors, after a rocky start since its listing on the ASX in December last year.

Stuck in a downward spiral, the share price has dropped from $1.32 to just $0.34 as of late on Thursday.

While acknowledging the share-price movement, Mr Iervasi said “it is attributable to short-term market dynamics”, and that the fundamentals of the business remain strong.

“Our founding team and major shareholders remain firmly committed to the company’s vision and have retained their holdings, reflecting their confidence in our long-term prospects,” he said.

“Execution and proven delivery of our strategy will be key to proving our success. When the market starts to see our sustained success, we would expect the share price will reflect that.”

The total SPC Global now includes selling food, beverages, dairy and ingredients, and are looking to build on consumer demand not only in Australia, but internationally as well.

“Through Nature One Dairy, we now have a direct selling arm into Asia. We have a regional office in Singapore and our team there are seeking cross selling opportunities for SPC Global’s products into Asia, particularly China, Vietnam, Singapore and Hong Kong, which are all potential growth engines for our business,” Mr Iervasi said.

In a period of significant transition for the company, and managing a falling share price, SPC has also found the time to show support for the Coalition’s East Coast Gas Reservation Scheme.

Chair Hussein Rifai on Wednesday said companies like SPC Global were facing mounting challenges, and that “manufacturers are now paying between $10-$14 per gigajoule, compared to $2-$4 per gigajoule in major competitor countries like the United States.”

“As a result, Australian-made food products are increasingly undercut by cheaper imports and struggle to compete in export markets, where price sensitivity is critical.