Fireman Capital Partners (FCP) has partnered with Dunn’s River Brands to acquire ready-to-drink iced tea brands Tradewinds Tea and Sweet Leaf Tea Company from Nestlé Waters North America. The purchase agreements for these transactions have been signed and the transaction is expected to close before year-end.
Sweet Leaf Tea is a producer of ready-to-drink organic teas and lemonades made with 100% pure cane sugar. The brand was founded in Beaumont, TX in 1998 by Clayton Christopher and David Smith. The company was acquired by Catterton Partners in 2008. In 2010, Sweet Leaf Tea acquired Tradewinds Beverage and the entire company was sold to Nestlé Waters North America in 2011.
Dunn’s River Brands (DRB) is a platform company formed in 2016 by Kevin McClafferty, Lee Brody and Ian Knowles to acquire beverage companies. The company is led by President and CEO Kevin McClafferty who has 26 years of experience in the beverage industry. DRB is currently based near Pittsburgh in Canonsburg, PA but will be establishing operations in Dallas in the first quarter of 2018 (www.dunnsriverbrands.com).
“We are excited to partner with the highly talented Dunn’s River Brands team to build a world-class beverage platform,” said Dan Fireman, Managing Partner of FCP. “The Sweet Leaf Tea and Tradewinds brands represent a terrific foundation for the DRB portfolio as consumer demand for specialty, local and functional beverage products continues to increase. I am confident that FCP and DRB’s combined consumer and beverage sector expertise will position the DRB platform for long-term growth and success.”
Fireman Capital Partners (FCP) invests from $50 million to $100 million of equity in consumer products companies with revenues between $30 million and $150 million and EBITDA from $20 million to $100 million. The firm was founded in 2008 by Chairman Paul Fireman, the former Chairman and CEO of Reebok International, and Managing Partner Dan Fireman and is based near Boston in Waltham, MA (www.firemancapital.com).
“We look forward to collaborating with Kevin and the seasoned DRB team, which brings decades of experience in the beverage space,” said Chris Akelman, a Principal at FCP. “With our combined resources and operational expertise, we will accelerate the long-term growth and profitability of the Sweet Leaf Tea and Tradewinds brands.”
“The entire DRB team and I are delighted to partner with Fireman Capital Partners. FCP’s successful track record with consumer and beverage products, such as their current craft beer platform CANarchy and legacy juice brand, Evolution Fresh, make them the ideal partner for DRB as we grow the Sweet Leaf Tea and Tradewinds brands,” said Mr. McClafferty. “With FCP’s support, we are well-positioned to attract world-class beverage brands and support the next generation of beverage companies.”
© 2017 Private Equity Professional | December 18, 2017
