Graham Partners has acquired Giraffe Foods, a private label manufacturer of food products.
Giraffe’s products include sauces & marinades, dips & dressings and hot pepper sauces for the retail and foodservice industries. The company’s services include custom formulation, nutritional labeling, and custom packaging and 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, ON (www.giraffefoods.com). “Graham’s family heritage resonated with the Giraffe team because it aligns with our company’s values and history; we believe Graham is uniquely qualified to assist us in growing our company,” said Mr. Powell.
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 growth plan for Giraffe includes improving profitability through operational initiatives, geographic expansion, and add-on acquisitions.
“Graham was attracted to Giraffe’s exceptional R&D and manufacturing capabilities, as well as the company’s strong track record of innovation,” said Andrew Snyder, a managing principal at Graham. “We are excited to partner with the company and utilize our experience and industry resources to further accelerate the growth of the business.”
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. Graham Partners was founded in 1988 and is headquartered in Philadelphia (www.grahampartners.net).
“Giraffe is a great fit for our portfolio given the company’s conversion-driven growth and industry overlap with several of Graham’s current portfolio companies. We look forward to partnering with the Giraffe team,” said Steven Graham, CEO of Graham Partners.
Varagon Capital Partners (www.varagon.com) was the administrative agent and lead arranger on a senior secured credit facility to support the buy of Giraffe Foods by Graham Partners.
© 2018 Private Equity Professional | December 12, 2018