Woolworths has announced that it has received competition authority approval and fulfilled all other regulatory conditions for the acquisition of in2food. The completion of the transaction is expected to take place in the coming month. This development marks a significant milestone in Woolworths' efforts to strengthen its premium food business. The acquisition is expected to enhance Woolworths' supply chain resilience and further differentiate its premium offering.
The acquisition was first announced in March, with Woolworths agreeing to acquire 100% of in2food Holdings from founders Old Mutual Private Equity for an undisclosed amount. in2food is a long-term food supplier to Woolworths, generating more than R5bn in revenue annually. The retail major, which derives most of its earnings from its food division, views in2food as one of its "most significant" suppliers. Woolworths made nearly R90bn in sales in the 2026 financial year.
Woolworths is putting its premium food business at the centre of its next phase of growth, viewing it as its strongest competitive advantage. The group, led by CEO Sam Ngumeni, faces weaker consumer demand, rising operating costs, and a difficult trading environment across its South African and Australian businesses. The acquisition of in2food advances Woolworths' strategic intent by building on its market-leading premium food ecosystem.
The transaction supports Woolworths' focus on prioritising growth in its food division, strengthening differentiation, unlocking new revenue streams, and directing capital with greater discipline. The longstanding relationship between Woolworths and in2food is grounded in close collaboration and a shared focus on quality, innovation, and a differentiated customer proposition. This makes the transaction a natural extension of Woolworths' premium food ecosystem.
Greater integration between Woolworths and in2food will increase agility and efficiency across the supply chain, improving speed-to-market and responsiveness to changing customer needs. The deal will also enhance innovation and new product development, supporting Woolworths' continued leadership in premium food retailing in South Africa. The acquisition is expected to unlock new revenue streams by leveraging in2food's established presence in food service and export markets.
After completion, in2food will continue to operate as a standalone business within Woolworths, with its current senior leadership team remaining in place. This will ensure continuity of operations and preserve the entrepreneurial culture that has contributed to in2food's success. The transaction is expected to be earnings-accretive to Woolworths, with further benefits anticipated as efficiencies are realised over time.
According to Roy Bagattini, who was the CEO of Woolworths before Sam Ngumeni took over, Woolworths and in2food share more than a three-decade history of partnership in creating products of outstanding quality and innovation. The acquisition represents a compelling opportunity to bring a key strategic capability closer to the Woolworths Foods business, strengthening one of the core points of differentiation in its premium food offering.
Key points
- Woolworths receives competition authority approval to acquire in2food
- The acquisition is expected to enhance Woolworths' supply chain resilience and further differentiate its premium offering
- The transaction is expected to be earnings-accretive to Woolworths
