Bain Capital to buy Irish food group Valeo Foods

Private equity firm CapVest Partners has agreed to offload Dublin-headquartered Valeo Foods Group to Bain Capital Private Equity for an undisclosed sum.

CapVest established Valeo Foods in 2010 when it acquired Irish food businesses Batchelors and Origin Foods. The company has since grown to become a producer of branded and private-label food products that serves customers across 106 markets.

Valeo Foods’ diverse portfolio of brands include Jacobs, Rowse, Odlums, Barratt, Balconi and Kettle – which it acquired through the purchase of Campbell Soup’s European crisp business. Since its inception, Valeo Foods has acquired and integrated 16 businesses in the UK, Ireland and continental Europe.

For the 12 months through to March 2021, Valeo Foods has reportedly grown its annual net sales to approximately €1.1 billion, from less than €200 million in 2010. The business now operates 24 manufacturing facilities and has more than 4,000 employees.

“Valeo Foods has been developed into a key player in the European food industry by a talented and ambitious team,” said Nigel Walder, a managing director at Bain Capital Private Equity.

“We believe Valeo has further potential to grow significantly, both organically and through acquisitions, and look forward to partnering with Seamus and his team to accelerate that growth trajectory and further consolidate the company’s position as a leading international food business.”

Following the acquisition, Valeo Foods CEO Seamus Kearney will continue to lead the business with the existing management team.

Jason Rodrigues, partner at CapVest, added: “The sale of Valeo Foods represents the culmination of our strategy to build a major international food business through a combination of strategic investment, innovation and complementary acquisitions of businesses and brands in categories with stable demand characteristics, where we have applied our team’s deep experience to drive sustainable growth.

“It has been a great partnership with an exceptional leadership team led by Seamus Kearney. Together they have created a high-performing and growing leader in ambient foods. We look forward to seeing Valeo Foods continue to flourish under Bain Capital’s ownership.”

The deal – which is subject to regulatory approval – comes shortly after Bain Capital agreed to purchase Dessert Holdings, a North American premium dessert company.