US-based private equity firm Castanea Partners has invested undisclosed sum in Jeni's Splendid Ice Creams, a retailer and wholesaler of branded artisanal ice creams.
This investment makes Castanea Partners, the sole outside investor in the company alongside owners such as founder Jeni Britton Bauer, her husband Charly Bauer, her brother-in-law Tom Bauer, and friend, CEO John Lowe.
Castanea managing partner Steve Berg said: "Jeni's created the artisan category in ice cream -- and clearly leads it.
"They've built their business as a community and are blazing a path for the next generation of better businesses and the good food movement. We think Jeni's is the next great American ice cream company and look forward to supporting their growth."
Jeni's CEO John Lowe said: "There are a lot of private equity firms. We chose veterans who have proven to be great collaborators and great people.
"They've proven they understand who we are as a company and bring a wide range of expertise from which we will benefit. We are very excited they are joining us on this journey.
In a blog post, Jeni's founder Jeni Britton Bauer said: "Our new partnership with Castanea gives us the the opportunity to make better ice cream -- more direct trade ingredients, new equipment, more studies in our R&D kitchen, more talent on our team -- and to open more scoop shops, places for people to get to know each other better, to conspire with one another, to fall in love."
For the strategic alliance, John Lowe said that Jeni's and Castanea have been in discussions for more than two and a half years.
While North Point Advisors served as exclusive financial advisor to Jeni's, Financo acted as the exclusive financial advisor to Castanea.
Castanea usually invests between $15m-$150m of equity in businesses where it has significant operational and investment expertise. The company has around $1bn under management and is currently investing from a $600m fourth fund.
The company partners with small to middle-market companies in branded consumer products and services, including companies in specialty apparel and fashion, footwear and accessories, beauty and personal care, food and beverage, sporting goods, outdoor and leisure, household and juvenile products, and health and wellness.
Image: Jeni's offers artisanal ice creams. Photo: Courtesy of rakratchada torsap/FreeDigitalPhotos.net.
