US-based private equity investment firm Warburg Pincus has agreed to acquire FlavorSum, a provider of natural flavour solutions for the food and beverage industry.
FlavorSum specialises in developing custom natural liquid flavours, extracts, and flavour systems for food and beverage applications.
The company primarily serves high-growth, disruptive brands, offering standout flavour formulation capabilities, research and development, and application support.
The acquisition, which is anticipated to be completed later in the third quarter of this year, aims to advance FlavorSum’s growth to meet increasing demand within the industry.
FlavorSum CEO Brian Briggs said: “We are proud of the team and the pure-play flavour platform we built during our partnership with Riverside.
“Our solutions model drives industry-leading organic growth, and we have become the Acquirer of Choice” through our acquisition and integration strategies and success.
“We look forward to building upon this foundation and driving future growth with our new partners at Warburg Pincus.”
FlavorSum supports food and beverage firms in North America, bringing products to market efficiently and cost-effectively.
With nearly 100,000ft2 of manufacturing space and a dedicated innovation centre, FlavorSum is recognised as the fastest-growing flavour company in North America.
Houlihan Lokey and Cascadia Capital served as financial advisors, with Jones Day providing legal counsel to FlavorSum on the transaction.
BMO Capital Markets served as advisor, while Cleary Gottlieb Steen & Hamilton served as legal counsel to Warburg Pincus.
Warburg Pincus managing director Zach Lazar said: “FlavorSum has been purpose-built for the unique needs of fast-growing, innovative brands, offering an unmatched combination of service (across R&D support, short lead times and best-in-class reliability) with the industry’s deepest flavour and application expertise.
“FlavorSum is particularly well-positioned to meet the growing demand for natural solutions across food and beverage applications.
“We are tremendously excited to partner with Brian and the FlavorSum team to continue the Company’s standout growth, including actively pursuing add-on acquisitions.”
