A third deal of 2012 for Broadlake Capital has seen the firm move into a new market.
Private equity firm Broadlake Capital has snapped up a Manchester-based subsidiary of food processing company Nestle.
The investment in Jede UK is Broadlake’s first in the coffee market and follows on from its recent investment in self-tan business Vita Liberata and its acquisition of Deep Riverrock from Coca-Cola.
Jede UK was previously owned by Jede AB, Nestle’s subsidiary, and is responsible for providing 15 million cups of coffee in the UK per year.
On the back of Broadlake’s involvement, Jede UK is set to undergo further expansion in the UK and Ireland.
Pete Smyth, CEO of Broadlake Capital, says that Jede UK had become ‘non-core’ for Nestle.
‘Our expertise in growing and developing similar businesses can be leveraged to support the management team in expanding the business’ geographic presence and product offering,’ he adds.
Donal Garrihy, director at Broadlake Capital, says a number of synergies exist between the private equity firm and Jede UK, which will look to be leveraged during the investment period.
Dublin-headquartered Broadlake Capital has €100 million under management and invests between £2 million to £20 million in UK or Ireland-based businesses.