Sabrosura Foods, LLC (Sabrosura Foods), a marketer and distributor of branded Hispanic food products, has acquired Pancho’s Mexican Foods, Inc (Pancho’s), the manufacturer of America’s favorite queso dip since 1956.
Pancho’s will join the Sabrosura Foods family of well-known brands, which include: El Viajero, La Morenita, Reynaldo’s and Bio Salud!. Sabrosura Foods is a natural partner for Pancho’s to continue its rapid expansion nationwide across the mass, club and grocery channels. Terms of the transaction were not disclosed.
Founded in 1956, Pancho’s gained its popularity as a local Memphis favorite before evolving as a leading brand in the refrigerated queso dip category, now found at more than 1,200 stores nationwide.
“We couldn’t be more excited to join the Sabrosura Foods family,” says Brenda O’Brien, President of Pancho’s Mexican Foods, Inc. “Pancho’s has been in my family for 65 years, and we have been so grateful to bring people together over delicious food. Now, we are looking forward to our next chapter as part of the Sabrosura Foods team.”
The acquisition adds an historic, 60-year-old consumer-loved brand to Sabrosura Foods’ portfolio of Hispanic brands and further enhances the company’s position in the fast-growing queso dip category.
“Sabrosura Foods is thrilled to acquire Pancho’s, further building our portfolio of Hispanic cheese products available in stores nationwide. A key pillar of Sabrosura Foods’ growth strategy has always been focused on acquiring complementary product capabilities,” says Jeff Caswell, CEO of Sabrosura Foods. “We are proud to be able to continue Pancho’s legacy and are eager to introduce Pancho’s queso dip to even more consumers across the fast-growing snacking category.”
Cascadia Capital served as the financial advisor to Pancho’s, Dechert LLP served as the legal advisor to Sabrosura Foods and Centre Partners and Giannuzzi Lewendon served as the legal advisor to Pancho’s.
