Canadian investment platform Fengate Private Equity has completed the acquisition of Saco Foods from Benford Capital Partners.
Fengate partnered with Weathervane Investment to make the acquisition. Saco’s existing management team, led by CEO Tom Walzer, will continue to retain a significant equity interest in the company.
In a busy week for Saco, it was announced today (24 January) that Saco had bought US baking ingredient brand Solo Foods from custom food ingredient manufacturer, Sokol.
Saco was founded by the Sanna family in 1973 and its portfolio includes brands Dolci Frutta; California Sun Dry; Saco Pantry; and Hoosier Hill Farm. Founded in 1925, Solo brings its baking ingredient products to the Saco portfolio, including cake and pastry fruit fillings, almond paste and marzipan. Solo’s products are sold in mass retailers in the US.
In a statement, Saco Foods said the strategic move “brings together two industry leaders combining Saco Foods fresh, innovative approach and expertise with Solo Foods rich heritage”.
Jennifer Pereira, managing director, group head of private equity at Fengate, spoke of the firm’s acquisition of Saco: “In the food and beverage sector, Saco is an excellent fit with our strategy of backing strong management teams and investing in trusted and enduring products with ample whitespace for growth”.
Pereira said that Fengate will support the continued growth of Saco’s existing brands through new product innovation, expanding into new categories and channels and further building the platform through acquisitions.
Tom Walzer, Saco Foods’ CEO, spoke of the company’s purchase of Solo: “Solo’s products are a perfect tuck-in to the Saco Pantry’s centre-store baking line. We look forward to combining the resources of Saco’s best-in-class shared services platform, along with cross-selling opportunities for Solo’s products in eCommerce and traditional retail, to capitalise on the significant growth opportunities for the combined portfolio of brands.”
Solo Foods’ national sales manager, Shannon Pimmel, added: “Saco will bring new energy and resources to the Solo brand and provide the opportunity to reach new bakers, bringing with it over a century of baking experience and tradition”.
Terms of both transactions were not disclosed.
