CHICAGO — Arbor Investments, a private equity firm based in Chicago, has announced a recapitalization of PBF Pita Bread Factory Ltd., a maker of fresh and frozen premium baked foods based in Burnaby, B.C. Terms of the transaction were not disclosed.
Founded in 1984, PBF has grown to become a recognized national supplier of baked goods to bakery-deli, food service and private label customers in Canada and the United States. The company’s product offering includes a variety of gourmet bakery items, including its signature pita bread, tortillas, bagels, naan, cookies and pies that are marketed under the company’s PBF Signature, Bakestone Brothers and 24th Ave. brands or private label. The company recently relocated to an updated facility in Burnaby.
“PBF exemplifies the type of high-quality food manufacturer that Arbor seeks for its portfolio,” said Alan Weed, vice-president of Arbor. “PBF has thrived under the ownership of the Hayek family, and we are thrilled to be acquiring the business as it enters its next stage of growth.”
Fady, Sid and Ron Hayek will remain active in daily operations of the company, and the family will retain a significant ownership stake going forward.
“Arbor is a great fit for us, and we look forward to a prosperous future for the company,” said Fady Hayek, president of PBF. “Their extensive industry knowledge and experience in the baking segment in particular made them a very attractive partner for our family business. They will be a valuable resource on many levels and will allow us to maintain our historically strong trajectory of growth and profitability.”
Joseph Campolo, president of Arbor, said PBF “had all the qualities” it was looking for in its first investment in Canada.
“We look forward to building on the company’s excellent reputation as we add new customers and product capabilities,” Mr. Campolo said. “We will also be looking to grow the business through complementary acquisitions both in Canada and the United States.”
Founded in 1999 and headquartered in Chicago, Arbor Investments is a specialized private equity firm that focuses exclusively on acquiring premier companies in the food and beverage industry. The firm has acquired or invested in more than 32 food and beverage companies in North America, including Gold Standard Baking, Inc., Oven Fresh Baking Company, Inc. and Mister Cookie Face.Earlier this year, Arbor Investments completed the acquisitions of The New French Bakery, Inc., a specialty baker located in Minneapolis, and Keyes Packaging Group, Inc., a Wenatchee, Wash.-based provider of protective molded fiber and tissue wrap packaging for the food and beverage industry.