Wenatchee Growers

Abstract

Darrel Reynolds, executive vice president of Wenatchee Growers and grandson of its founder, had been approached by owners of another family-owned fruit company about a buyout. If Darrel accepted their offer, Wenatchee would immediately expand from Washington state into California, becoming the largest producer of cherries in North America. While this would greatly lengthen Wenatchees selling season, it would also mean new management and logistical challenges. Darrel needed to decide if the acquisition makes sense, and if so, how much to pay for his closely-held target.