Giraffe Foods, a portfolio company of Graham Partners since December 2018, has acquired Lounsbury Foods.
Toronto-based Lounsbury is a family-owned and operated manufacturer of horseradish (prepared, extra hot, mild sauce, and beet “red” horseradish), seafood cocktail sauce (mild, tangy, and extra hot), mint sauce, tartar sauce, and mustard. The company’s products are sold through the retail, private label, foodservice, and institutional channels.
“We are extremely happy with our decision to complete a transaction with Giraffe Foods and feel confident that our customers, and our family legacy, are in good hands,” said Tim Higgins, president of Lounsbury. “Giraffe’s focus on innovation and quality will be a benefit to our customers and help to grow the combined business long-term.”
Giraffe’s products include sauces, dressings, dips, and marinades for the retail and foodservice industries. The company’s services include custom formulation, nutritional labeling, and custom packaging. Giraffe has capabilities in kosher and halal, organic, GMO-free, and nut-free private label products.
Giraffe, led by CEO Ari Powell, operates out of two facilities totaling over 110,000 sq. ft. and is headquartered near Toronto is Mississauga, Ontario.
“This acquisition is consistent with our commitment to grow our capabilities and portfolio of product solutions by investing internally and by partnering with great companies like Lounsbury,” said Mr. Powell. “This marks an important step for Giraffe as we continue on our journey from great to elite, with our outstanding team, our core mission, and our values leading the way.”
According to Graham, the operations of Giraffe are benefiting from multiple growth factors including increased demand for private label, ethnic, organic, and better-for-you foods, all of which are fueling brand, flavor, and product proliferation. Graham’s continued growth plan for Giraffe includes improving profitability through operational initiatives, geographic expansion, and add-on acquisitions.
Philadelphia-based Graham Partners acquires companies with EBITDA between $5 million and $50 million and will invest in smaller companies as add-on acquisitions to existing portfolio companies. The firm is sponsored by the Graham Group, an industrial and investment concern with interests in plastics, packaging, machinery, building products, and outsourced manufacturing.
Private Equity Professional | July 22, 2020