Quad-C Management has sold its portfolio company Cloverhill Bakery, a manufacturer of individually wrapped sweet baked goods, to Switzerland-based global food business ARYZTA AG. Quad-C invested in Cloverhill in 2009.
Cloverhill is a manufacturer of individually wrapped pastries for retail, co-pack, foodservice and vending customers. The company’s product portfolio includes over 30 product formulations and 300 SKUs, including fold-over and round Danish, cinnamon rolls, honey buns, donuts, muffins, crumb cakes, and cream-filled cakes. Cloverhill operates two world-class bakeries in the Chicago metropolitan area. During Quad-C’s investment period, Cloverhill has invested approximately $100 million in growth capital and grown revenue by more than 80%. Cloverhill was founded in 1961 and is headquartered in Chicago (www.cloverhill.com).
“Back in 2009, Quad-C saw Cloverhill as an exciting opportunity to invest in a high growth market leader in the packaged foods space, but equally as important, to partner with an aggressive, talented management team willing to reinvest significantly with us as co-owners,” said Frank Winslow, partner, Quad-C Management. “We are thrilled with the outcome of our work together, which resulted in substantial expansion and the creation of long-term value for the company.”
Quad-C is a middle market private equity firm that invests from $35 million to $125 million of equity in companies with enterprise values of $75 million to $400 million. Sectors of interest include business services, consumer, general industrial, healthcare, specialty distribution and transportation/logistics. The firm is currently investing Quad-C VIII, a $700 million fund raised in 2012. Quad-C was founded in 1989 and in its 25-year history has invested over $2 billion of equity across more than 50 companies. The firm is headquartered in Charlottesville, VA (www.quadcmanagement.com).
“We are very pleased with the success of the Cloverhill investment and feel the partnership we created with management is indicative of our investment approach at Quad-C – one where interests are aligned among our limited partners, ourselves and management and where strategies are set in a collaborative fashion. We wish the team luck and look forward to their continued success,” added Steve Burns, senior partner, Quad-C Management.
The buyer of Cloverhill Bakery, Aryzta, is a global bakery company dually listed on the Swiss and Irish stock exchanges. The company’s range of products includes artisan breads, sweet baked goods, and an array of other items such as pizza, tarts, and pies. Aryzta is headquartered in Zurich, Switzerland with operations across North America, South America, Europe, Southeast Asia, Australia, and New Zealand (www.aryzta.com).
© 2014 PEPD • Private Equity’s Leading News Magazine • 3-26-14