M&A Deal Summary

Kohlberg & Company and Manulife Investment Management Acquire Nellson Nutraceutical

On August 26, 2013, private equity firm Kohlberg & Company and mezzanine finance firm Manulife Investment Management acquired food company Nellson Nutraceutical from Seven Mile Capital Partners

Acquisition Highlights
  • This is Kohlberg & Company’s 4th and Manulife Investment Management’s 2nd transaction in the Food sector.
  • This is Kohlberg & Company’s 43rd and Manulife Investment Management’s 17th transaction in the United States.
  • This is Kohlberg & Company’s 3rd and Manulife Investment Management’s 2nd transaction in California.

M&A Deal Summary

Date 2013-08-26
Target Nellson Nutraceutical
Sector Food
Buyer(s) Kohlberg & Company
Manulife Investment Management
Sellers(s) Seven Mile Capital Partners
Deal Type Secondary Buyout
Advisor(s) Houlihan Lokey (Financial)
Akin Gump Strauss Hauer & Feld (Legal)

Target

Nellson Nutraceutical

Irwindale, California, United States
Nellson Nutraceutical is a formulator of branded and private-label nutritional bar and functional powder products in North America. The company develops and manufactures nutritional bars and functional powders in a wide variety of ingredient formulations and product formats for its customer base of consumer packaged goods companies and retailers across the wellness, sports nutrition, weight control, athletic/energy, and medical nutrition end-markets.

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Buyer(S) 2

Buyer

Kohlberg & Company

Mount Kisco, New York, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1987
PE ASSETS 11.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Kohlberg & Company is a private equity firm which acquires middle-market companies with consistent cash flow, and underperforming companies with operational deficiencies. Kohlberg looks to commit $100 to $500 million of equity capital in opportunities valued from $200 million to $2 billion. Kohlberg generally looks for opportunities in the manufacturing and service sectors, however the Firm will also selectively consider businesses in food and healthcare. Kohlberg tends not to consider technology or communications companies. Kohlberg & Company was formed in 1987 and has offices in Mt. Kisco, New York.


DEAL STATS #
Overall 44 of 79
Sector (Food) 4 of 6
Type (Secondary Buyout) 8 of 32
State (California) 3 of 5
Country (United States) 43 of 77
Year (2013) 2 of 2
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2013-06-27 Risk Strategies

Boston, Massachusetts, United States

Risk Strategies is a national brokerage firm focused on delivering risk management and insurance solutions toprivately-held and publicly-traded commercial clients and high net worth individuals. Risk Strategies focuses on client risk management challenges and delivers pragmatic, costeffective financial and business solutions. Risk Strategies was founded in 1997 and is based in Boston, Massachusetts.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2014-05-07 Phillips-Medisize

Hudson, Wisconsin, United States

Phillips-Medisize Corp. is a designer and manufacturer of highly engineered finished devices, sub-assemblies, and components that are primarily developed and manufactured for medical end market applications.

Sell -
Buyer

Manulife Investment Management

Boston, Massachusetts, United States

Investor Investor Investor Investor Investor


Category Mezzanine Finance Firm
Founded 1998
Size Large
Type Sector Agnostic
DESCRIPTION

Manulife Investment Management is a private investment group that provides mezzanine as well as non-controlling equity capital to middle-market businesses. Manulife Investment's target investment size is $10 to $50 million per transaction. The Group prefers opportunities located in the US. Manulife Investment Management was established in 1998 and maintains offices in Boston and New York City.


DEAL STATS #
Overall 18 of 26
Sector (Food) 2 of 3
Type (Secondary Buyout) 5 of 5
State (California) 2 of 3
Country (United States) 17 of 24
Year (2013) 2 of 2
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2013-01-01 Shape Technologies Group

Kent, Washington, United States

Shape Technologies Group is a designer, developer, and manufacturer of ultrahigh-pressure waterjet pumps and related technology, metal cutting and industrial cleaning systems, and aftermarket components. Shape Technologies Group was founded in 2013 and is based in Kent, Washington.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2013-12-31 Inland Industrial Services Group

Detroit, Michigan, United States

Inland Industrial Services Group is a provider of industrial cleaning, maintenance and turnaround services to the petrochemical, power, steel, automotive, and oil refinery end‐markets. The company provides routine, daily, and turnaround cleaning and maintenance services, including hydroblasting, vacuuming, chemical cleaning and tank cleaning.

Sell -

Seller(S) 1

SELLER

Seven Mile Capital Partners

New York, New York, United States

Investor


Category Private Equity Firm
Founded 2011
Size Middle-Market
Type Sector Agnostic
DESCRIPTION

Seven Mile Capital Partners is a private equity firm focused on acquiring middle-market profitable companies with $5 - $50 million of EBITDA. The Firm will consider a variety of transaction situations including companies undergoing transition, carve-outs, or in need of restructuring. Industries of interest include aerospace/defense, diversified manufacturing, building products, automotive, specialty material manufacturing, value-added distribution, and logistics. Seven Mile Partners was formed in 2011 with the purchase of a legacy portfolio of private equity investments from Citigroup. The Firm is based in New York City.


DEAL STATS #
Overall 2 of 6
Sector (Food) 1 of 1
Type (Secondary Buyout) 2 of 2
State (California) 1 of 1
Country (United States) 2 of 3
Year (2013) 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2012-10-04 The Waddington Group

Covington, Kentucky, United States

The Waddington Group is a manufacturer and marketer of premium disposable tableware for commercial, foodservice and retail markets. Headquartered in Covington, KY, the company operates seventeen manufacturing facilities across the U.S., Canada, the United Kingdom and Ireland.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2013-12-19 Microporous

Piney Flats, Tennessee, United States

Microporous is a developer, manufacturer, and marketer of high-performance rubber, polyethylene (PE), and hybrid battery separators for flooded lead-acid batteries. Separators are a highly-engineered, mission-critical component of lead-acid batteries. Microporous was founded in 1934 and is based in Piney Flats, Tennessee.

Buy $120M