DENVER–Custom Made Meals LLC (“CMM”), a leading supplier of fresh, oven-ready entrees, appetizers, and sides for grocery retailers and food service distributors, announced today that it has acquired Hearthside Food Solutions’ (“Hearthside”) ready-to-cook and ready-to-heat manufacturing assets in Jacksonville, FL (“Hearthside Jacksonville”). This is CMM’s first acquisition under Stellex Capital Management (“Stellex”), a private equity firm that invests in middle market companies in North America and Europe.
Hearthside Jacksonville is a provider of value-added, chef-curated meal and appetizer solutions to grocery chains and food service distributors across the Eastern United States. Built in 2005, the well-regarded facility manufactures a broad portfolio of products ranging from fresh products to refrigerated kits, raw proteins, and ready-to-cook and ready-to-heat meals. Hearthside Jacksonville holds SQF Level 3, FDA, and USDA certifications.
The acquisition will expand CMM’s regional footprint, answering the call of existing and prospective customers for greater capacity and a broader assortment, while improving the efficiency of the distribution network. The investment bolsters CMM’s product portfolio with key capabilities in wraps, sandwiches, value-added seafood, and ready-to-heat categories.
Doug Burris, who serves as the Chief Executive Officer of sister companies CMM and Country Fresh, said, “The acquisition includes a dedicated team that has extensive experience in food manufacturing and who carry an unwavering commitment to quality and on-time and in-full performance. We are excited to work together to continue CMM’s history as a collaborative retailer partner, providing on-trend solutions that drive repeat purchases and foot traffic. We are confident that the combined capabilities of our network will allow us to better serve grocery chains and food service distributors nationwide.”
Trey Lee, Managing Director at Stellex, added, “Customers are looking to CMM as a value-added partner to assist in the expansion of their value-added fresh offerings. Given the proliferation of these emerging categories, we are happy to provide investment support to get ahead of retailers’ strategic requirements. CMM is in the business of improving the end customer experience and enabling efficiencies for its retail partners and we believe this move is a testament to that ethos.”
Winston & Strawn LLP provided legal support to Stellex and CMM, and Mayer Brown LLP provided legal support to Hearthside USA. Baird served as financial advisor to Hearthside USA. Terms of the transaction were not disclosed.
About Custom Made Meals
Custom Made Meals is a Denver, CO-based manufacturer of fresh, oven-ready, value-added entrees and appetizers. With scaled, centralized production capabilities, fresh supply chain expertise, and flexible logistics, CMM is uniquely positioned as a leading US supplier in the space capable of serving retailer locations nationwide with product SKU breadth, depth, and complexity. Additional information may be found at www.custommademeals.com.
About Hearthside Food Solutions
Headquartered in Downers Grove, Illinois, Hearthside Food Solutions is a leading contract manufacturer and producer of baked foods, snacks, nutrition bars, frozen, refrigerated, and fresh sandwiches/entrees and a full-service provider of food packaging services for many of the world’s premier brands. In 2018 Hearthside was acquired by Charlesbank Capital Partners and Partners Group. For more information on Hearthside Food Solutions, visit www.hearthsidefoods.com.
About Stellex Capital Management LLC
With offices in New York, Detroit, Pittsburgh, and London, Stellex Capital is a private equity firm with over $2.8 billion in AUM. Stellex seeks to identify and deploy capital in opportunities that stand to benefit from its operationally focused and hands-on approach to investing. Portfolio companies are supported by Stellex’s industry knowledge, operating capabilities, network of senior executives, strategic insight, and access to capital. Sectors of particular focus include aerospace, defense & government services, transportation & logistics, manufacturing, real economy & business services, food processing and tech-enabled services. Additional information may be found at www.stellexcapital.com.
