Snow Phipps Group LLC is putting Teasdale Latin Foods up for sale, more than three years after buying the provider of Hispanic food products, four sources said.
Snow Phipps tapped Morgan Stanley to run the process, three of the sources said.
Teasdale, Flower Mound, Texas, provides private-label and branded bean and hominy products for retail, food service and wholesale. The company is known for its Hispanic food offerings, which include taco shells, enchilada sauces and salsa.
Snow Phipps is expected to seek more than $500 million for Teasdale, people said.
During Snow Phipps’s tenure, Teasdale completed four follow-on acquisitions including Jardine’s Foods, Casa Fiesta and Mesa Foods. Teasdale last year acquired Rudy’s Tortillas, a provider of tortillas and chips.
Launched in 2005, Snow Phipps typically invests from $50 million to $150 million equity per deal. It targets sectors including consumer, industrials and services. The middle-market firm closed its third fund at $810 million in November 2016, Preqin said.
Snow Phipps, named after Co-Founders Ian Snow and Ogden Phipps, has made seven investments in the past year, according to PitchBook. Snow Phipps bought Brook and Whittle, DecoPac and Ideal-Tridon Holdings. Add-ons included C&M Corp last week, Rudy’s Tortillas, Range Me and Eastman Outdoors.
Executives for Morgan Stanley declined comment. Snow Phipps and Teasdale could not be reached for comment.
Action Item: Email Teasdale CEO Chris Kiser at email@example.com
Photo of can of white hominy courtesy of Teasdale