Funds advised by Lion Capital are acquiring the operating companies of Bumble Bee Foods, a portfolio company of Centre Partners Management.
The transaction is expected to be completed by year-end.
Bumble Bee is a North American supplier of shelf-stable seafood. The company produces and markets shelf-stable tuna, salmon, sardines, clams and other specialty seafood products that are sold under the Bumble Bee, Clover Leaf, Brunswick, Snow’s, Beach Cliff, King Oscar and Sweet Sue brands.
Bumble Bee has 1,700 employees across eight facilities in the US, Canada and Puerto Rico and in 2009 generated over USD940m of net revenue.
Lyndon Lea, partner of Lion Capital, says: “We are excited about the opportunity to acquire one of North America’s best-known consumer packaged goods companies and a portfolio of brands that enjoy unrivalled positions with US and Canadian consumers. Led by the iconic Bumble Bee and Cloverleaf brands, the company has achieved an attractive record of consistent revenue growth and superior operating margins, even through economic downturns, through an unwavering focus on product quality, innovation and operational excellence. We look forward to building on the company’s strong brand equity and market leadership to drive further superior financial performance in this attractive food category.”
Centre Partners’ senior partner Scott Perekslis adds: “We are pleased to be entering into this transaction with Lion Capital. Once again, Bumble Bee has proved to be an attractive investment for us, and we thank Mr. Lischewski and his team for delivering strong earnings and cash flow growth while continuing to build the company’s leading brands and market position. Having achieved the ambitious goals we set out at the time of our initial investment, we now wish the company, the management team, and Lion Capital great success in their future endeavours.”
Lion Capital was advised by Barclays and Simpson Thacher & Bartlett. Financing is being provided by JP Morgan, Wells Fargo, Barclays Capital and Jefferies. Centre Partners and Bumble Bee Foods were advised by JP Morgan and Dechert; Wells Fargo and Jefferies acted as co-advisers.
