US-based supplier of frozen potato and vegetable products Lamb Weston has signed an agreement to acquire Australian frozen potato processor Ready Meals.

Financial details of the deal were not divulged.

Lamb Weston Holdings president and CEO Tom Werner said: “The Ready Meals acquisition is the continuation of our strategic work to strengthen and expand our global capabilities.

“The acquisition complements our presence in Australia, providing us with additional avenues to increase our position in Australia’s 1.1 billion pound market.”

With frozen potato processing and storage facilities in Hallam, Victoria, Ready Meals sells frozen potato products under the Harvest Choice brand.

With the acquisition of the Ready Meals facility, Lamb Weston is expected to add approximately 70 million pounds of production capacity to its existing global manufacturing network.

Completion of the deal is subject to customary closing conditions.

Upon completion of the deal, the American frozen potato and vegetable products supplier will own and operate 18 processing facilities across the globe and an additional eight facilities in conjunction with its joint venture (JV) partners.

Last January, Lamb Weston announced its plans to expand its French fry processing capacity in North America, as well as increase its quarterly dividend.

The frozen potato supplier planned to expand operations at its processing facility in Hermiston, Oregon, with an investment of $250m.

The investment encompasses the construction of a French fry line, which would be capable of processing 300 million pounds a year.