Stir Foods and Pacifica Foods Acquire Sabra’s Salsa Business
Stir-Pacifica expands its footprint in salsa
Orange County, CA, September 5, 2018 – Wind Point Partners and portfolio company Stir Foods and Pacifica Foods (“Stir-Pacifica” or the “Company”), a leading custom manufacturer of soups, sauces, dressings, and fresh salsas for both retail and foodservice customers, are pleased to announce that Stir-Pacifica has acquired Sabra Dipping Company’s salsa business (“Sabra Salsa”) based in Oceanside, CA. The acquisition includes the Santa Barbara and Chachies brands, which will continue to be produced at the Oceanside facility, and the Sabra brand salsa, which will be phased out.
The acquisition of the Sabra Salsa business, including the SQF Level 2 Oceanside manufacturing facility and strong workforce, enhances the Company’s salsa manufacturing capabilities and adds capacity to support the continued growth of Stir-Pacifica.
Milt Liu, CEO of Stir-Pacifica, expressed, “I am delighted to welcome the Sabra Salsa business and its employees to Stir-Pacifica. In this new phase, we are confident that together we will be able to accelerate growth and create value for all our stakeholders.” Liu added, “The combination of these two refrigerated salsa operations is highly complementary and will enable us to better serve our combined customer bases through enhanced R&D and new packaging formats. Additionally, the facility in Oceanside is well-invested and its workforce has a strong food safety and quality culture. This is an excellent addition to Stir-Pacifica.”
Joe Lawler, Principal with Wind Point Partners, stated, “The acquisition of the Sabra Salsa business fits squarely with our value creation plan. This investment will accelerate our ability to grow with our customers through more diversified manufacturing capabilities and continued investment in innovation.”
“We are proud of the people and the products they produce at Oceanside and are pleased the salsa business has been acquired by such a highly regarded organization,” said Tomer Harpaz, Sabra CEO. “At Sabra Dipping Company, our focus will continue to deepen around hummus as consumers increasingly embrace this plant-based, feel good food for everyday use.”
Wind Point Partners acquired Stir-Pacifica in December of 2017 in partnership with Milt Liu, a more than 20-year veteran of the food industry. In cooperation with Milt and management of Stir-Pacifica and Sabra Salsa, Wind Point will seek to continue growing the Stir-Pacifica platform through a combination of organic growth and innovation, as well as additional complementary acquisitions like Sabra Salsa.
BMO Harris Bank N.A. and Antares Capital led financing for the transaction. Reed Smith served as legal counsel to Wind Point. Corporate Fuel Advisors served as financial advisor and Hunton Andrews Kurth served as legal counsel to Sabra.