Fengate Private Equity (CA) acquired Saco Foods Holdings (US), a diversified shelf-stable food platform, in a $476 million transaction completed on January 22, 2024. The deal was advised by TM Capital and Thera Capital on the buy side, while BC Miller Law Group assisted Fengate on legal matters.

AcquirerFengate Private Equity (CA)
TargetSaco Foods Holdings (US)
Deal Value$476m
Type of DealAcquisition
Date AnnouncedJanuary 22, 2024
Close DateJanuary 22, 1024
Buy-Side AdvisorsTM Capital, Thera Capital
Sell-Side AdvisorsBC Miller Law Group
Legal Buy-Side AdvisorsKirkland & Ellis
Legal Sell-Side AdvisorsIce Miller

Deal Mechanics

Fengate Private Equity, a division of Fengate Asset Management with over $8 billion in capital commitments under management, acquired Saco Foods Holdings. TM Capital and Thera Capital acted as financial advisors to Fengate, while Kirkland & Ellis served as legal counsel.

Strategic Rationale

The acquisition allows Fengate Private Equity to invest in a fast-growing shelf-stable food company with a strong presence across various retail channels. Saco Foods' diversified product portfolio and its market leadership position in multiple categories will support the strategic expansion of Saco's operations under new ownership.

Financial Context

Saco Foods, headquartered in Middleton, Wisconsin, operates under CEO Tom Walzer's leadership with a well-recognized reputation for high-quality products. The company is known for its brands such as California Sun Dry, Dolci Frutta, Saco Pantry, Solo Foods and Hoosier Hill Farm.

Advisors

The deal was facilitated by TM Capital on the buy side alongside Thera Capital. Legal advice to Fengate was provided by Kirkland & Ellis, while BC Miller Law Group advised on the sell-side matters.

Outlook

Fengate aims to further support Saco Foods' growth trajectory and capitalize on the company's strong market positioning in a growing sector. The acquisition of Saco Foods represents Fengate’s continued commitment to investing in established companies with potential for significant expansion within the food & beverage industry.