Geelong produce mogul Frank Costa has retired as non-executive director of fresh food giant Costa Group, the company announced on Friday.
Mr Costa on Thursday stepped down from the position in the company that he founded, according to an ASX announcement.
“He will continue to retain his involvement with the company as an advisor to the board,” the statement read.
“Mr Costa has spent a lifetime’s work building Costa into a successful company that is highly-respected as a major force in Australia’s fresh produce industry.”
In recent years after stepping back from an executive role, Mr Costa was non-executive director of Costa since 2015 when the group became a public company.
Now was “the right time” to step back from a “formal engagement” while remaining an advisor to the board, Mr Costa said.
“I have been delighted with the growth and quality of the business as it has become the country’s leading horticultural group, which continues to set new standards in technology and sustainability across its portfolio.”
Costa Group chair Neil Chatfield praised Mr Costa’s “enormous contribution” and “wise counsel” in helping guide the company as it evolved.
“On behalf of the board, I want to sincerely thank Frank for his invaluable contribution to the board and we are delighted that Frank has accepted a role as advisor,” Mr Chatfield said.
“We are grateful that he is prepared to continue to devote his time to provide ongoing support and guidance to the company.”
Costa shares were trading at $4.035 on Friday morning shortly after the news, half the share price of $8.47 in August 2018.
In May the group’s shares plummeted following reports of issues with raspberries and other produce, with the steepest drop of $1.43 from $5.18 to $3.75 occurring during 30 and 31 May.
Costa is Australia’s leading grower, packer and marketer of fresh fruit and vegetables, according to the company’s investor website.
The company deals principally in berries, mushrooms, glasshouse tomatoes, citrus and avocados.
Operations include approximately 4,500 planted hectares of farmland, 30 hectares of glasshouse facilities and seven mushroom growing facilities across Australia.
Mr Costa was re-elected to the board at the company’s AGM in November.
According to the company’s most recent annual report released in April, he still holds 31 per cent of company shares.
Frank Costa and brother Adrian bought produce store Geelong Covent Garden from their father in the early ’60s, turning it into a thriving business.
Mr Costa had been a key player in the Australian produce industry since and was president of Geelong Football Club from 1998 to 2011.
