NBGI Private Equity has backed the £20 million management buy-out (MBO) of Peter’s Food Service. The management team includes the son of one of the vendors, Justin Griffiths, who was part of a trio of directors who have acquired the business.

NBGI Private Equity has backed the £20 million management buy-out (MBO) of Peter’s Food Service. The management team includes the son of one of the vendors, Justin Griffiths, who was part of a trio of directors who have acquired the business.

Justin, who becomes food service director, is part of a team that has 40 years’ combined experience in the pastry sector. This team includes new managing director Mike Grimwood, a former chief executive of Northern Foods, with David Peek continuing as finance director.

NBGI, which takes a majority stake in the business, backed the deal from its new £100 million fund. The firm’s investment was managed by director Richard Morley who has joined the board of Peter’s Food. Debt was provided by Royal Bank of Scotland.

Justin’s father, John Griffiths, bought the company from Grand Met ten years ago and retires following the disposal of his shares. Also leaving the business post-completion are his daughter Judith and non-executive director Godfrey Ainsworth.

Peter’s Food supplies chilled and frozen foods from ten sites including London, Birmingham and Cardiff. It also manufactures more than 100 million pastry products each year at its site in Bedwas, South Wales.

The company was established in 1970 and today generates a £53 million turnover and employs 640 staff.