Dessert Holdings, which is backed by Bain Capital Private Equity, has acquired Steven Charles, a maker of gourmet desserts. No financial terms were disclosed. Barclays also served as lead financial advisor to Dessert Holdings while Houlihan Lokey served as financial advisor to Steven Charles.
ST. PAUL, MN and AURORA, CO – January 3, 2022 – Dessert Holdings®, North America’s leading premium dessert company, today announced that it has acquired Steven Charles — A Dessert Company (“Steven Robert Original Desserts,” DBA “Steven Charles”), a maker of gourmet desserts supplying foodservice and retail customers across North America. The acquisition will provide Steven Charles with the platform and resources to continue to develop innovative dessert products at scale for its blue-chip customer base. Steven Charles will continue to be operated by its current management team led by President Rebecca O’Hara. Financial terms of the private transaction were not disclosed.
Founded in 1995, Steven Charles crafts unique and memorable desserts for restaurant and retail clients. The Company is known for its culinary innovation and development of imaginative signature desserts made from the highest-quality ingredients.
“As the leading premium desserts platform in North America, we are investing behind category-defining dessert manufacturers like Steven Charles to help them reach their full potential,” said Paul Lapadat, CEO of Dessert Holdings. “Steven Charles has a heritage of creating and commercializing award-winning desserts and that commitment to excellence in innovation and service has fostered long-standing relationships with a number of the leading foodservice and retail operators in North America. We see an incredible opportunity to supplement these strengths to support Steven Charles’ domestic growth while also investing to expand the business globally.”
“Dessert Holdings has a complementary product portfolio to ours and brings capital and expertise that will help us accelerate our growth journey,” said Rebecca O’Hara, President of Steven Charles. “Steven and Charles are proud and excited to hand the company over to the capable hands of Dessert Holdings, who will continue to value what makes Steven Charles so special as we are aligned on a strategy that preserves our commitment to culinary innovation and extraordinary service for our discerning customers.”
Steven Fabos and Charles Kosmont shared a dream of building a unique bakery that would bring gourmet desserts to restaurants and supermarkets. Steve began the journey in 1995, and Charles joined the helm 18 years ago. Together they partnered over the years to develop that vision into a reality.
“I have loved the creativity and working with the team that brings joy and fun to so many,” said Kosmont. “We want to thank our integral partners who helped make this happen, especially our staff, who helped to build this company to what it is today. We look forward to seeing the continued growth and success of the Company and know the future will be even more incredible,” added Fabos.
Steven Charles adds to Dessert Holdings’ portfolio of premium, clean-label dessert companies and brands including The Original Cakerie, Lawler’s and Atlanta Cheesecake Company. Bain Capital Private Equity acquired Dessert Holdings in June 2021 with a goal to support its growth acceleration through organic expansion and select acquisition opportunities.
“With our investment in Dessert Holdings, we have the privilege of backing Paul and his team as they build the leading premium dessert manufacturing company in North America, and the acquisition of Steven Charles is a perfect fit for that vision,” said Adam Nebesar, a Managing Director at Bain Capital Private Equity. “We look forward to partnering with Rebecca and the Steven Charles team to support their growth ambitions.”
Financing for the transaction was led by Antares Capital and Barclays.
Barclays also served as lead financial advisor, PwC served as accounting advisor, and Ropes & Gray LLP as legal advisor to Dessert Holdings. Houlihan Lokey served as financial advisor, and Davis Graham & Stubbs LLP served as legal advisor to Steven Charles.