SAN FRANCISCO -- Private equity firmH.I.G. Capital has acquired Lipari Foods Operating Co. LLC. The move helps to diversify the San Francisco-based company’s foodservice portfolio.
The company has not yet disclosed the terms of the transaction.
Generating about $1 billion in net sales each year, Lipari specializes in the distribution of deli, bakery, dairy, specialty retail, seafood, ethnic and organic foods. The company's product offering includes more than 25,000 items.
An H.I G. affiliate acquired the Warren, Mich.-based food distributor from fellow equity firm Sterling Investment Partners. The investor plans to work with Lipari’s current management to continue its growth. In 2018, Lipari acquired distributor Heagy Foods, Lancaster, Pa.; Mediterranean and Middle Eastern food company Jerusalem Foods, Dearborn, Mich.; and cheese distributor Jim's Cheese, Waterloo, Wis.
“The company continues to have numerous opportunities to expand, and H.I.G.’s experience and resources, particularly around M&A, will help us continue our successful growth trajectory,” said Thom Lipari, president and CEO of Lipari.
“Lipari is an impressive platform that has grown significantly over the years by expanding upon its Midwestern roots,” said Justin Reyna, managing director of H.I.G. “We are very excited to partner with the Lipari management team, who has a proven track record of profitable growth. The company’s significant customer value proposition, diverse product portfolio and unparalleled distribution capabilities uniquely position it to capitalize on growth opportunities within the food distribution, import and manufacturing markets. We look forward to supporting Lipari and investing in both organic and acquisition-driven growth in its next stage of evolution.”
Miami-based H.I.G. Capital is an investment firm with more than 100 companies and $30 billion in combined sales.
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