Size of stake not disclosed

Size of stake not disclosed

Coffee confectionery maker Tierra Nueva Fine Cocoa has attracted the interest of private-equity firm ProspEquity Partners, which has purchased a majority stake in the US-based firm.

Located in Miami, Tierra Nueva produces branded and private-label products for the retail confectionery market and expanded into coffee and coffee ingredients in 2012. 

The company owns brands such as Coffee Squares and Coffee Thins, which contain 100% coffee beans and zero chocolate and are sold at stores such as Fresh Market, 7-Eleven and Wawa.

The size of the stake and financial terms of the deal were not disclosed. However, ProspEquity said it generally invests between US$3m and US$30m in its projects.

Christopher Ramonetti, managing partner and chief executive of ProspEquity, said Tierra Nueva has the "potential to immediately disrupt the growing $74bn global coffee market".

"Tierra Nueva has also already successfully done something rarely seen in the consumer packaged goods space – they have created a whole new product category," he added. "This is beyond exciting with enormous potential. No other company in the world has created an Edible Coffee product category like this, especially one that is environmentally responsible and has true global potential."

John Alexander, an executive at Tierra Nueva, said the company is poised to launch a licensed coffee product and aims to be a global leader in bean technology.

He added: "It is an exciting time for Tierra Nueva as this partnership will provide us with the opportunity to reach a whole new level, especially ahead of the upcoming launch of a licensed coffee product with one of the largest coffee company brands in the world."