M&A Deal Summary

Prospect Capital Management, Triangle Capital, Gryphon Investors and Constitution Capital Partners Acquire Flagstone Foods

On November 15, 2010, business development company Prospect Capital Management, private equity firm Triangle Capital, private equity firm Gryphon Investors and private equity firm Constitution Capital Partners acquired food company Flagstone Foods

Acquisition Highlights
  • This is Prospect Capital Management’s 2nd, Triangle Capital’s 4th, Gryphon Investors’ 2nd and Constitution Capital Partners’ 2nd transaction in the Food sector.
  • This is Prospect Capital Management’s 52nd, Triangle Capital’s 46th, Gryphon Investors’ 23rd and Constitution Capital Partners’ 9th transaction in the United States.
  • This is Prospect Capital Management’s 1st, Triangle Capital’s 1st, Gryphon Investors’ 1st and Constitution Capital Partners’ 1st transaction in Minnesota.
Investment Fate
  • Flagstone Foods was sold to a publicly-traded strategic buyer in 2014 for 860M USD.
  • Flagstone Foods was divested to a consortium of buyers in 2019 for 90M USD.

M&A Deal Summary

Date 2010-11-15
Target Flagstone Foods
Sector Food
Buyer(s) Prospect Capital Management
Triangle Capital
Gryphon Investors
Constitution Capital Partners
Deal Type Consolidation

Target

Flagstone Foods

Minneapolis, Minnesota, United States
Flagstone Foods is a manufacturer and distributor of private-label snacks for retailers and foodservice providers. The Company produces a range of nuts, trail mixes, and dried fruit products, offering product development, roasting, seasoning, and packaging capabilities. Flagstone Foods was founded in 2010 and is headquartered in Minneapolis, Minnesota.

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Buyer(S) 4

Buyer

Prospect Capital Management

New York, New York, United States

Investor Investor Investor Investor Investor


Category Business Development Company
Founded 1988
Size Middle-Market
Type Sector Agnostic
DESCRIPTION

Prospect Capital Corporation is a publicly traded mezzanine debt and private equity firm that primarily provides non-control financing to support growth, recapitalizations, acquisitions, and development. Prospect will selectively consider control acquisitions by providing multiple levels of the capital structure. Prospect was initially formed in 1988 and went public 2004. The Firm is based in New York City.


DEAL STATS #
Overall 53 of 86
Sector: Food M&A 2 of 3
Type: Consolidation M&A Deals 1 of 2
State: Minnesota M&A 1 of 1
Country: United States M&A 52 of 83
Year: 2010 M&A 9 of 11
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2010-11-05 Castro Cheese Co

Houston, Texas, United States

Castro Cheese Company is a manufacturer, marketer and distributor of queso fresco and other varieties of Hispanic cheeses and creams.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2010-11-30 Royal Adhesives & Sealants

South Bend, Indiana, United States

Royal Adhesives & Sealants LLC is a producer of proprietary, high-performance adhesives and sealants. Royal offers a broad range of specialty formulated products designed to solve complex bonding, laminating and sealing applications across a diverse range of markets including aerospace and defense, construction, specialty packaging, automotive and industrial.

Buy -
Buyer

Triangle Capital

Raleigh, North Carolina, United States

Category Private Equity Firm
Founded 2007
Size Middle-Market
Type Sector Agnostic
DESCRIPTION


DEAL STATS #
Overall 46 of 114
Sector: Food M&A 4 of 10
Type: Consolidation M&A Deals 3 of 5
State: Minnesota M&A 1 of 2
Country: United States M&A 46 of 112
Year: 2010 M&A 9 of 10
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2010-10-29 Infrastructure of America

Brentwood, Tennessee, United States

Infrastructure Corporation of America is a provider of solutions for managing and maintaining transportation infrastructure during an era of reduced manpower and ever-shrinking public sector budgets. Their performance-based approach to asset management has proven to help state governments save money on maintenance costs. In 2015, ICA was acquired by HDR, Inc., a global engineering, architecture, environmental and consulting firm. As HDR|ICA Asset Management, the company offered government and transportation agencies a strategic approach to decision making focused on maximizing life-cycle system performance and value.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2010-12-17 Green Garden Products

Norton, Massachusetts, United States

Green Garden Products LLC is a supplier of branded, consumable gardening products. Green Garden Products is a provider of seed packets and seed starter products for flower and vegetable gardens in North America, and an emerging participant in the specialty soil and plant nutrient categories. Green Garden Products was founded in 1980 and is based in Norton, Massachusetts.

Buy -
Buyer

Gryphon Investors

San Francisco, California, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1995
PE ASSETS 9.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Gryphon Investors is a private equity firm focused on making $50 to $500 million of equity or equity-linked investments in middle-market companies. Target transaction situations include traditional buyouts, leveraged build-ups, and growth financings. Gryphon will consider both control and shared-control positions. Sectors of interest include business services, consumer, retail, automotive, chemicals, general manufacturing, healthcare, and hotels. Gryphon Investors was formed in 1995 and is based in San Francisco, California.


DEAL STATS #
Overall 23 of 76
Sector: Food M&A 2 of 3
Type: Consolidation M&A Deals 1 of 3
State: Minnesota M&A 1 of 4
Country: United States M&A 23 of 75
Year: 2010 M&A 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2010-11-08 Anthelio Healthcare Solutions

Dallas, Texas, United States

Anthelio Healthcare Solutions, Inc. (PHNS, Inc.) is a provider of comprehensive information technology and business process services to hospitals, healthcare providers and other businesses across the United States.

Sell $250M
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2011-07-25 Accelerated Rehabilitation Centers

Chicago, Illinois, United States

Accelerated Rehabilitation Centers, LLC is a premier provider of outpatient rehabilitation services. Accelerated has grown to over 230 outpatient rehabilitation centers in Illinois, Indiana, Iowa, Michigan, Missouri, Wisconsin, Ohio and Arizona, becoming the top choice for many professional athletes, large employers and busy professionals.

Sell -
Buyer
DESCRIPTION

Constitution Capital Partners is a private equity and asset management firm focused on opportunities throughout North America. Constitution Capital typically invests in private equity partnerships, however the Firm also makes direct private equity and credit investments. Constitution Capital Partners does not have any sector preferences. Constitution Capital Partners was formed in 2008 and is headquartered in Andover, Massachusetts.


DEAL STATS #
Overall 11 of 89
Sector: Food M&A 2 of 7
Type: Consolidation M&A Deals 1 of 1
State: Minnesota M&A 1 of 5
Country: United States M&A 9 of 83
Year: 2010 M&A 2 of 3
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2010-06-24 Mid-Atlantic Convenience Stores

Richmond, Virginia, United States

Mid-Atlantic Convenience Stores (MACS) is a convenience store operator in Maryland and Virginia.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2010-12-01 Armored AutoGroup

Danbury, Connecticut, United States

Armored AutoGroup Inc. is a consumer products company consisting primarily of Armor All and STP, two of the most iconic brands in the automotive aftermarket appearance products and performance products categories.

Buy -