Tailwind Capital exits foodservice cloud platform ArrowStream

Buyers Edge Platform is the buyer.

  • Lincoln International served as financial advisor to ArrowStream and Davis Polk & Wardwell LLP served as legal advisor
  • As part of the transaction, Jeff Dorr, president of Arrowstream, will take over day-to-day operations of the business
  • Since inception, Tailwind has invested approximately $4 billion in over 200 acquisitions

Tailwind Capital has sold ArrowStream, a foodservice cloud platform for supply chain intelligence. The acquirer is Buyers Edge Platform. No financial terms were disclosed.

ArrowStream’s market-leading supply chain technology connects over 1,200 distributor locations, 10,000 suppliers and 275 leading clients across 105,000 restaurant locations on a single platform for collaboration, and includes well-known companies such as Shake Shack, QSCC, QDOBA Mexican Eats, Coffee & Bagel Brands, SUBWAY, FOCUS Brands, and International Dairy Queen.

On the sale, Will Fleder, Tailwind Partner, said in a statement: “We are extremely proud to have partnered with the ArrowStream team. When we acquired the business in 2020, we were impressed by ArrowStream’s unique culture, differentiated technology offerings and blue-chip customer base. Our thesis was based on our conviction that ArrowStream would continue to grow its leadership within supply chain management visibility for the foodservice industry, and the Company achieved many of its key milestones in the first 18 months of our ownership.”

As part of the transaction, Jeff Dorr, president of Arrowstream, will take over day-to-day operations of the business, and Raleigh McClayton will continue working with Tailwind as an executive focused on tech-enabled services businesses.

Lincoln International served as financial advisor to ArrowStream and Davis Polk & Wardwell LLP served as legal advisor.

Tailwind Capital is a middle market private equity firm focused on services companies in three core subsectors infrastructure services, supply chain and IT services. Since inception, Tailwind has invested approximately $4 billion in over 200 acquisitions, including over 50 platform companies and over 160 add-on acquisitions.