In a significant development in the ethnic food sector, Indo-European Foods (IEF), a prominent US-based company, has been acquired by Ziyad Brothers for an undisclosed amount. This acquisition marks an important milestone in the growth trajectory of both firms.
Established in 1966, Indo-European Foods operates its business from Commerce, California, specializing in the import and distribution of food products from the Eastern Mediterranean and Middle East regions. Notable brands under its umbrella include the spreads, dips, and pickles brand Zeergut, as well as Al Wadi, known for its houmous and chickpeas, and Hellema, which produces biscuits and cookies.
IEF has built a robust network over the years, supplying food products to over 1,000 independent ethnic grocers primarily located throughout the western United States. Additionally, it services national chain stores across a remarkable 45 states, indicating its expansive reach in the market.
On the other hand, Ziyad Brothers, which is also rooted in 1966 and headquartered in Chicago, operates in a similar niche. The company imports and distributes a diverse range of food brands, including Wild Garden, renowned for packet rice and chermoula marinade, Sultan, an esteemed olive oil brand, and Zalatimo Sweets, which specializes in sweet pastries. With over 800 stock-keeping units (SKUs), Ziyad Brothers maintains facilities across Illinois, New Jersey, and California, further solidifying its market presence.
Investment bank Brown Gibbons Lang & Company (BGL), which advised on the IEF transaction, articulated that the merger “brings together two companies that we believe have highly complementary brand portfolios and geographic footprints.” This strategic union will enable both entities to broaden their product offerings to customers and capitalize on shared resources.
This partnership is designed to facilitate IEF’s rapid expansion in national markets, particularly in key growth areas located in the South and Midwest regions of the United States. The acquisition positions IEF to leverage Ziyad Brothers’ existing infrastructure and customer base, enhancing its operational capabilities.
In a related context, it is noteworthy that Peak Rock Capital acquired Ziyad Brothers in 2022. This strategic acquisition was developed in collaboration with the company’s management team and the Ziyad family, creating additional potential for growth and innovation within the food sector.
