ALMOND orchards manager Select Harvests Ltd's proposed $25 million acquisition of almond orchards in northwest Victoria has fallen over. 

Select Harvests had announced the proposed acquisition of 655ha  at Lake Powell near Robinvale, from Seven Fields on February 15 but the deal was subject to approval from 75 per cent of the Lake Powell orchard unitholders.

Select Harvests said today the Lake Powell orchard unitholders had voted against the sale on Monday, which meant that a condition of settlement under the contract had not been met.

"The consequence on Select Harvests is that it will retain the orchard management rights for the 1,619 acres of orchards under the existing terms of its management agreement with Seven Fields," Select Harvests said in a statement to the Australian Securities Exchange.

Despite the setback, Select Harvests said its growth strategy to increase owned or leased orchards and orchards under management remained on track.

"The outcome of the Lake Powell unitholders' vote means Select Harvests will continue as orchard manager, processor and marketer for Seven Fields, and will not impact the total orchards under management by Select Harvests," Select Harvests chief executive John Bird said.

"Our growth plans, including consolidating our position in the Murray Darling basin and establishing orchards in the Dandaragan region of Western Australia, remain on track, and we are well placed to further consolidate our strong position as a leading player in the global almond industry."

Select Harvests said orchards owned or leased amounted to 1214ha near Robinvale.

This would increase by 1254 to 1618ha following the announcement of a long-term leasing agreement for orchards near Hillston, NSW, with Rural Funds Management.

The development and planting of 809ha in WA had started, meaning that Select Harvests would own or lease around 3440 to 3894ha of almond orchards.

Orchards managed on behalf of third parties, inclusive of the Seven Fields Lake Powell orchards, would remain at just over 1416ha.

Shares in Select Harvests were two cents higher at $4.47 today.