Ministry of Cake has been acquired by Greencore Group plc
The shareholders of Ministry of Cake have successfully completed a sale of the company to Irish food manufacturer, Greencore Group plc.
Following an MBO in September 2005, backed by Matrix Private Equity, Managing Director Chris Ormrod and his team have successfully grown Ministry of Cake to over 15 million in revenues. Major customers include the key food service distributors and pub groups, including Brake Brothers, Spirit Group and the Hard Rock Cafe© Group.
Arrowpoint Advisory's Industrials sector team, who were appointed by the shareholders to lead the transaction, highlighted the strong potential fit with Greencore at an early stage, although formal discussions only commenced in the Autumn.
Bob Henry who made the original investment on behalf of Matrix Private Equity said: “The management team worked hard to develop Ministry of Cake and we have worked alongside them to drive the Company's growth and development. The sale to Greencore is a natural fit and will enable additional opportunities for the company's continued development.”
Although the deal marks an exit for Matrix Private Equity, Chris and the rest of his team are keen to work with Greencore to capitalise on the Ministry's position as the leading manufacturer of desserts and cakes for the food service industry.
Chris Ormrod comments: “Arrowpoint Advisory negotiated a deal which all of the shareholders were happy with and we are looking forward to the next phase in our business growth. We enter 2008 confident that Greencore will be an outstanding partner to assist us to achieve our goals and strategy.”
Patrick Groarke, Head of Arrowpoint Advisory's Industrial sector team, adds: “Ministry of Cake had received a number of approaches over the last 12 months, however Greencore were best positioned to grow the business as they have a complementary cakes and desserts business serving a number of the major multiples. The deal is another example of the resurgence of strategic buyers in the food industry; a trend which we see continuing into 2008.”