Tate’s Bake Shop offers a variety of baked goods including cookies, cakes, brownies, and pies. While most of these gourmet treats are sold through grocery and specialty food stores, Tate’s Bake Shop also sells through its web store, as well as its retail location in Southampton, first opened in 1980. Tate’s Bake Shop was founded by Kathleen King in 1980 and is based in Southampton, NY (www.tatesbakeshop.com).
“Tate’s Bake Shop provides exceptional treats that meet rising demand for all-natural and authentic gourmet foods,” said Riverside Managing Partner Loren Schlachet. “They have a loyal and growing base of customers who appreciate their commitment to quality.”
The Riverside Company is a private equity firm focused on the smaller end of the middle market (“SEMM”). Riverside specializes in investing in SEMM companies (those valued up to $250 million) and partners with management teams to build companies through acquisitions and value-added growth. Since 1988, the firm has invested in more than 350 transactions with a total enterprise value of more than $6 billion. The firm’s current portfolio includes more than 70 companies. The Riverside Company is headquartered in New York with additional offices in Atlanta, Chicago, Cleveland, Dallas, Los Angeles, San Francisco, and London (www.riversidecompany.com).
“Under the leadership of Kathleen King, Tate’s Bake Shop has proven to be a nimble and innovative baker that is setting trends in the industry,” said Riverside Partner Alan Peyrat. “They have continued to perfect their all-natural line of cookies while innovating with new flavors and formats, including top-selling gluten-free cookies and bars.”
Working with Mr. Schlachet and Mr. Peyrat on the transaction for Riverside was Associate Elaine Ho. Origination Principal Amy Margolis sourced the deal for Riverside. Riverside Finance Director Kim Katzenberger served as finance director, and Vice President Dan Haynes worked on financing the transaction for the firm.
Riverside plans to help Tate’s Bake Shop accelerate growth by enhancing distribution, production, and manufacturing efficiency as well as supporting sales and marketing.
Golub Capital, Crescent Capital and Triangle Capital provided financing for the transaction.
TM Capital Corp., an investment banking firm with offices in New York, Boston and Atlanta, served as financial advisor to Tate’s Bake Shop in connection with this transaction.
© 2014 PEPD • Private Equity’s Leading News Magazine • 9-2-14