US-based Dessert Holdings has acquired local peer Kenny’s Great Pies from investor Kaho Partners.
Financial terms of the deal were not disclosed.
According to the Minnesota-based company, which is owned by investment firm Bain Capital, the deal will complement its existing platform of “premium dessert brands” serving retail and foodservice customers.
Kenny’s, a manufacturer of cream-based pies, will continue to operate under its current management team led by Gary Muter.
Muter has been with the company for 16 years and has served as CEO since 2020.
The pie maker was established in 1989 and operates out of Smyrna, Georgia.
Dessert Holdings said in a statement announcing the deal that Kenny’s sells “millions of branded and private-label pies through diverse channels”.
Paul Lapadat, CEO of Dessert Holdings, said “Kenny’s clean label, flavourful pies are complementary to our portfolio of premium desserts”.
The chief executive also said the Dessert Holdings acquisistion will expand its distribution network.
He added that Kenny's “has established a distinctive market position, fostering a number of long-standing relationships with leading foodservice and retail operators and major clubs in North America, earning a loyal consumer following".
Kenny's Muter said: "We believe Dessert Holdings’ experience and complementary product portfolio provides specialist expertise to help us accelerate our growth”.
“We see an incredible opportunity to further promote Kenny’s all-natural differentiated product offerings and signature key lime pie that will pull consumers to store bakeries.”
Adam Nebesar, a partner at Bain Capital, which acquired the dessert company in June 2021 said: “Since our initial investment in Dessert Holdings, the business has grown tremendously”.
“We are very pleased with the Desserts Holdings performance to date and look forward to partnering with Gary and Kenny’s team to support their growth ambitions.”
Dessert Holdings’ portfolio of brands includes Steven Charles, The Original Cakerie, Lawler’s, Atlanta Cheesecake Company and Dianne’s Fine Desserts.
With the addition of Kenny’s Great Pies' distribution base, it will serve more than 250 customers in the US, Canada, Mexico, the Caribbean, South America and Asia.
