U.S. consumer private equity firm Swander Pace Capital has acquired Bäckerhaus Veit Ltd, a Mississauga, Ontario-based artisan bakery.
No financial terms were disclosed.
Established in 1987 by CEO Sabine Veit, Bäckerhaus Veit produces artisan, European-style breads, rolls, buns and soft pretzel products for retail and food service customers across North America.
Veit, who will continue as a board member, said the partnership with Swander Pace will help the company build partnerships, increase brand awareness, and expand distribution.
The deal follows Swander Pace’s acquisition earlier this year of Fine Choice Foods, a Richmond, British Columbia-based maker of Asian-flavoured appetizers.
Swander Pace, which has an office in Toronto, is currently investing through SPC Partners VI, which raised US$510 million in 2016.
Swander Pace Capital Acquires Bäckerhaus Veit
Canadian Artisan Bakery Marks Newest Addition to Growing Portfolio
November 15, 2018
MISSISSAUGA, Ontario–(BUSINESS WIRE)–Swander Pace Capital, a leading private equity firm specializing in investments in consumer products companies, has acquired Bäckerhaus Veit, Ltd., a leading producer of artisan, European-style breads, rolls, buns and soft pretzel products for top-tier retail and foodservice customers across North America.
Founded in 1987 by award-winning entrepreneur and CEO Sabine Veit, Bäckerhaus Veit draws on more than 90 years of family heritage in the baking industry, dating back to Veit’s family roots in the Stuttgart region of Germany.
Under Veit’s leadership, the company has grown from serving a handful of Toronto-area retail locations to becoming North America’s signature bakery of the finest authentic European artisan breads, rolls and pretzel products. The company’s success has been built on providing innovative solutions and unmatched customer service to major retailers and foodservice customers in the United States and Canada.
“Bäckerhaus Veit has built a tremendous business by staying true to the foundations of traditional artisan bread making. The company has built enduring relationships with its customers and suppliers, and it is able to recreate high-quality products derived from old-world recipes, allowing it great success in today’s modern marketplace,” said Heather Smith Thorne, managing director at Swander Pace Capital. “This achievement is a testament to the leadership of Sabine and her talented team, as well as the technological advantages afforded by a newly built, best-in-class baking facility.”
The acquisition marks Swander Pace’s most recent investment in the baked goods industry, having completed previous transactions with Ontario-based Voortman Cookies and Pineridge Bakery, the latter of which was sold to Aryzta AG in 2014. As part of the new relationship with Swander Pace, Veit will continue to be involved with the company and will be an active board member.
“Swander Pace is the ideal partner to help us achieve our next phase of growth,” said Veit. “They have vast understanding and deep experience in this space, not to mention a long history of giving companies the advice and backing they need to succeed. I am looking forward to working with the Swander Pace team to continue to build strong partnerships, grow awareness of our products and capabilities, and expand our distribution footprint across North America.”
“Bäckerhaus Veit’s reputation for operational excellence, product quality, consistency, and taste has earned it a fiercely loyal customer base,” added Tyler Matlock, senior vice president at Swander Pace. “We look forward to working with the company to build on its legacy of growth and success.”
Duff & Phelps Securities Canada acted as exclusive advisor to Bäckerhaus Veit on the transaction. Terms of the deal were not disclosed.
About Swander Pace
Swander Pace Capital (SPC) is a private equity firm that invests in companies that are integral to consumers’ lives. SPC’s consumer industry expertise informs the firm’s strategic approach and adds value through access to its proven SPC Playbook, senior team, and extensive network. The firm partners with management teams to help build companies to their full potential. SPC invests in businesses across three domains of consumer lifestyles: Food + Beverage, Body + Wellness, and Home + Family. With offices in San Francisco, New Jersey, and Toronto, SPC has invested in more than 45 companies and raised cumulative equity commitments of approximately $1.8 billion since 1996. For more information, visit www.spcap.com
About Bäckerhaus Veit
Steeped in European heritage, Bäckerhaus Veit is a premium artisan bakery that fuses Old World craftsmanship with New World technology. The company bakes handcrafted breads, rolls and pretzel products using clean, nutritious ingredients and proven family recipes. Bäckerhaus Veit has an unwavering commitment to quality and features best-in-class industry practices in its manufacturing process, staying true to the original intention of what real bread is supposed to be — a delicious, nutritious eating experience. Supported by a team of European-trained bakers, Bäckerhaus Veit sells into the North American retail, home meal replacement, foodservice, institutional, and convenience store channels. For more information, visit www.backerhausveit.com
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