SK Capital Partners has acquired Spectra Confectionery, a Canadian manufacturer of decorative toppings and confectionery products, from its founding Georgas family.
Spectra Confectionery specializes in products such as sprinkles, nonpareils, chocolate vermicelli, colored sugars, and candy-coated chocolates. Its customer base includes food distributors, bakeries, ice cream manufacturers, and snack food producers across North America.
The company, founded in 1996 and headquartered near Toronto in Vaughn, Ontario, is led by Managing Director John Georgas and President of Operations Nikolaos Georgas.
“We are thrilled about our partnership with SK Capital,” said John Georgas. “We look forward to continuing to provide best-in-class service to our customers with a super-charged focus on customer-centric innovation and an enhanced commercial strategy.”
“Spectra’s commitment to quality, customer service, and sustainability aligns perfectly with our investment philosophy, and we look forward to working closely with this talented team to unlock new growth opportunities and build on the company’s strong foundation,” said Mario Toukan, a managing director at SK Capital.
“The Georgas family has built a tremendous business with an industry-wide reputation for quality and customer service over Spectra’s 30-year history,” said Dan Lory, a principal at SK Capital. “We are honored they selected SK Capital as their partner in executing the company’s next phase of growth.”
SK Capital’s portfolio collectively generates over $14 billion in annual revenue, employs more than 25,000 people, and operates more than 200 facilities worldwide. The firm typically invests $100 million to $200 million in equity per portfolio company. Its most recent fund, SK Capital Partners VI LP, closed in April 2024 with $2.95 billion in capital commitments.
The buy of Spectra is SK Capital’s seventh investment in the food ingredients sector. Past transactions include J&K Ingredients, acquired in November 2023; Phoenix Flavors & Fragrances, acquired in December 2021; Tilley Distribution, acquired in December 2020; and Niacet Corporation, which was purchased in December 2021 and exited in June 2021.
Coldwater Corporate Finance served as financial advisor to Spectra Confectionery, while Cascadia Capital advised SK Capital. Debt financing for the deal was provided by MidStar Capital and Stellus Capital.
© 2024 Private Equity Professional | December 10, 2024
