Superfruit specialist Fruitist has closed $150 million in equity financing led by a vehicle managed by J.P. Morgan Asset Management alongside other new and existing investors to help accelerate its global expansion.
The round follows a period of meteoric growth at the vertically integrated firm, said CEO Steve Magami, who co-founded the business in 2012 with an initial focus on growing, distributing and marketing blueberries from Peru.
The Los Angeles-based company—known for its signature jumbo blueberries—has since expanded its growing areas to Mexico, Chile, India, Morocco, China, and the US, with new growing regions opening up in Oregon and California. It now supplies 12,500+ outlets in 40 countries.
While blueberries are its top seller, Fruitist has also expanded into other fruits, Magami told AgFunderNews: “Blackberries, raspberries, and cherries are strategic growth areas that complement Fruitist’s core blueberry business. While blueberries currently represent the majority of revenue, the company is scaling these newer categories to build a broader, year-round berry platform across key markets.”
‘Consumers using GLP-1 increase their berry purchases after starting the medication’
Berries, which have been growing in popularity as snacks in recent years, are also getting a boost from the rise of GLP-1 drugs such as Ozempic and Wegovy, said Magami: “Our data show that consumers using GLP-1 treatments increase their berry purchases after starting the medication.
“Fruitist has the highest unique incremental growth per SKU across our top retailers, meaning Fruitist drives new consumer purchases rather than shifting share. Retailers see measurable lift when we’re on their shelves.”
Beyond retail, he said, “Fruitist is also expanding its reach through e-commerce and sports partnerships that connect directly with consumers. We recently became the official superfruit snack of USC Athletics and welcomed NFL quarterback] Caleb Williams as both an investor and brand ambassador.
“These partnerships, combined with Fruitist’s growing direct-to-consumer platform, reflect its strategy to meet consumers where they are, from stadiums to online storefronts, and reinforce its position as a leader in healthy, performance-driven snacking. Fruitist reported [trailing 12-month sales of] $400 million earlier this year and continues to grow rapidly.”
“Our strategy has invested in Fruitist in recognition of the exceptional results they’ve achieved and the moat they’ve built around the business. We believe that Fruitist, with control of its value chain, significant organic growth opportunity ahead, and positioning as a driving force of premiumization of berries and the better-for-you category, will realize durable expansion.” Brad Demong, managing director, J.P. Morgan Asset Management
Tech-enabled approach
In recent years, Fruitist has invested heavily in technology, recently hiring Jim Trahanas as CTO and striking a partnership with Seattle-based RipeLocker to deploy low-atmosphere vacuum chambers to extend the life of berries across its supply chain.
“We are building an intelligence platform powered by our proprietary data, millions of monthly berry-level data points collected across our vertically integrated operations,” said Magami, who said Fruitist is also working on more flavorful and heat-tolerant varieties.
“Our advanced analytics continuously process data from diverse microclimates and growing environments to deliver precise harvest timing and optimize every stage of the value chain. The platform models growing conditions, predicts optimal quality attributes, and determines exact harvest windows to ensure consistent quality and reduce waste. These insights drive more efficient use of labor and resources, enabling Fruitist’s year-round supply of premium berries.”
