Rise Baking Company has been acquired by Platinum Equity and Butterfly Equity, marking a significant shift in ownership for the Minneapolis-based firm.
In a partnership that sees both investors obtaining equal stakes, the acquisition follows the company’s previous ownership under Olympus Partners, who invested in Rise Baking in 2018. The financial specifics of this forthcoming transaction, which is set to finalize in the last quarter of the year, remain undisclosed.
Founded in 2013, Rise Baking has expanded its presence through ten acquisitions over the years. Among its most recent purchases is Table Talk Pies, located in Worcester, Massachusetts, which was publicly announced in June.
The company caters to retail and foodservice clients across the United States and Canada, offering a diverse range of products including cookies, pies, cakes, snack bars, and muffins.
Rise Baking’s brand portfolio features renowned names such as Brill, South Coast Baking, Best Maid Cookie Company, Henry & Henry, New French Bakery, Bakestone Brothers, and Karp’s.
CEO Brian Zellmer, along with the management team and staff, will continue to lead the business after the transition. “We have built this company into one of the leading bakery platforms in North America thanks to the contributions of our incredible team over the years,” Zellmer stated. He expressed excitement about collaborating with Platinum Equity and Butterfly Equity to further elevate Rise Baking Company as a comprehensive bakery partner for their customers.
A separate announcement from Olympus Partners highlighted the company’s substantial workforce of almost 4,000 employees, distributed across 20 manufacturing facilities in North America. Notably, the acquisition of Table Talk Pies also included three additional sites and 300 employees, although specific details regarding the transaction value were not disclosed at that time.
Mike Horgan, a partner at Olympus, remarked, “Working with Brian Zellmer and the entire management team to help grow Rise into the premium in-store bakery platform in North America has been an amazing experience. Rise Baking Company is extremely well positioned for the future, and we look forward to witnessing Rise achieve even greater success.”
The new stakeholders have indicated plans for further mergers and acquisitions to enhance Rise Baking, building on previous deals that involved notable brands like Brill and Wonder Brands Pies.
Jacob Kotzubei, joint president of Platinum Equity, commented, “We view Rise as an established leader with impressive scale and a strong foundation with a lot more room to grow both organically and through additional M&A.”
Adam Waglay, co-founder of Butterfly Equity, expressed enthusiasm for the partnership, stating, “We are honored to partner with Brian and the full Rise team to support their expansion by turbo-charging growth, both organically and through strategic acquisitions.”
This acquisition reflects ongoing trends in the food and beverage industry, showcasing the dynamic nature of the food and drink business as it grapples with evolving consumer trends and market demands.
