June 16, 2011, Saint-Bonaventure, Que. — Fafard et Frères Ltd., a leading player in the Canadian horticulture industry, has purchased controlling interest in New Brunswick-based peat producer, Heveco Ltd.
“Heveco has been an important supplier to us for several years now and we are pleased to solidify this relationship with a major ownership position,” said Fafard president and CEO Martin Fafard. “This ensures our long-term access to Heveco’s extensive reserves of high-quality peat, and at the same time enables us to work more closely with its management to develop their products and markets.”
As a result of this transaction, Fafard’s harvesting operations are now spread in three provinces – Quebec, Ontario and New Brunswick. This geographic diversification is expected to help reduce exposure to fluctuating weather patterns that can often affect harvesting.
An added benefit of this investment is Heveco’s block-cut peat, which is unique in North America. “The coarser nature of block-cut peat makes it ideal for producing unique top-of-the-line growing mixes,” said Fafard.
Heveco’s founding family, the Meckings, continues to hold a significant share of the company and will be actively involved in the day-to-day operations. While Bernd Mecking will retire as president after 49 years with Heveco, his sons, general manager Rolf Mecking and operations manager Hans Mecking, will remain.
In addition to the financial investment, Heveco will also benefit from other Fafard resources including its R&D department, and its physical and chemical labs for quality control.
Financial support for this transaction was provided primarily by Farm Credit Canada.
ABOUT HEVECO LTD.
Heveco Ltd., located in Tabusintac, New Brunswick, is a family-owned business founded in 1962 by the Mecking family. It is well recognized for the high quality of its professional peat and mixes. Heveco’s products are sold to the professional and commercial markets mostly in the U.S., but also in Latin America and parts of Asia.
ABOUT FAFARD ET FRÈRES LTD.
Fafard et Frères Ltd. is a major Canadian producer and distributor of a wide range of high-performance soil mixes, composts and complementary products for the professional and retail horticulture markets in Quebec, Ontario and the Maritimes.