just the facts – private-equity M&A in food

Earlier this week, US private-equity firm Warburg Pincus agreed to acquire UK discount retailer Poundland, while UK peer Langholm Capital backed a management buy-out of UK herbs business Barts Spices. Here we take a look at other recent private-equity acquisitions in the food industry.

In March, Shearer's Foods, a firm majority-owned by Mistral Equity Partners, a private-equity firm, acquired Snack Alliance, a branded, contract-pack and private-label salty snack manufacturer. Snack Alliance makes the Riceworks brand and produces salty snacks for various retail customers, including Wal-Mart. The group has operations in the US and Canada.

In November last year, Pinnacle Foods Group inked a deal to acquire Birds Eye Foods in the US in a transaction valued at US$1.3bn. Pinnacle Foods, owned by private-equity funds controlled by The Blackstone Group, makes brands including Swanson and Hungry-Man frozen dinners and entrees, Van de Kamp's and Mrs Paul's frozen seafood, Aunt Jemima frozen breakfasts and Celeste frozen pizzas.

In the same month, Kraft Foods sold its energy bar business, Balance Bar Co., to private equity group Brynwood Partners VI for an undisclosed sum. Brynwood VI will base the company in the north-east part of the US and has recruited a "talented" management team to operate the business, the group said. 

In October, Wessanen, the Dutch food group, successfully offloaded its German frozen meat business Karl Kemper to a group owned by funds managed by BPE Private Equity in Hamburg and members of the Karl Kemper management for an undisclosed sum. Karl Kemper produces frozen meat, poultry and vegetarian meal components for the German out-of-home channel.

In September, Apollo Global Management and Canadian Imperial Bank of Commerce become majority shareholders in UK biscuit firm Burton's Foods following a refinancing. Duke Street Capital retained a minority stake.

In July, Leeds-based private equity firm Key Capital Partners acquired UK group TSC Foods, which makes soups under the Glorious brand, as well as private-label sauces, soups, entrees and dressings.

A month earlier, German private equity group Nord Holding and the senior management team of De Mäkelbörger Backwaren acquired the wholesale bakery business.

In May, private-equity fund Hilco Equity Partners bought Atkins Elegant Desserts in partnership with Monomoy Capital Partners.

And in March last year, two private equity firms, Cerea Capital and the then Banexi Capital Partenaires bought French frozen patisserie business Martine Spécialités from Premier Foods plc.