A Pittsburgh, Pa., private equity firm, Main Street Capital Holdings LLC, purchased refrigerated foods processor Harry’s Fresh Foods, Portland, Ore., for an undisclosed amount from Basic American Foods, according to a report in two American City Business Journals publications, the Pittsburgh Business Times and Portland Business Journal.
Main Street Principal Gerald Prado told the publications that Tony Muscato, H.J. Heinz Co.'s former managing director of European Foodservice (until 2006), became Harry’s president and CEO, effective Jan. 3.
Harry’s reportedly employs about 300 people at an 80,000-square-foot
plant. The company supplies refrigerated entrees and soups to
foodservice operators and mass retail channels.
Although it did not comment on the sale, Basic American Foods (BAF), Walnut Creek, Calif., said last August that it was pursuing a shelf-stable products strategy. That's when the company sold its Naturally Potatoes refrigerated side dish business to Libra Foundation, Portland, Maine. BAF had purchased Harry's in July 2007.
Main Street Capital's Muscato told the periodicals that he planned to develop a growth plan for Harry's during this spring.
“There’s a lot of opportunity for the product line to go into new
markets and new product lines,” he said. “This category of refrigerated
foods - sides, entrees, sauces and desserts - has grown 7 percent to 8
percent annually for the past five years and ties nicely into trends for
less processed, healthier foods and convenience."
Main Street reportedly teamed with Sun Capital Partners, Boca Raton, Fla., to fund the acquisition.
Investors buy Harry's Fresh Foods
January 31, 2011