Industry: Food Products
Location: East Rutherford, New Jersey
The DVS Group Role: Buyside Advisory
Mark Riegel (DVS Buyside Client):
Mark Riegel brings a unique combination of skills and experience to his new role as the CEO of FroDo Baking Company LLC. Mark’s career began at Westpoint Military Academy and continued for five years as a member of the Unites States Army. His subsequent career included Brand Management positions at three divisions of Kraft as well as Vice President positions at Ferrara Candy Company. His most recent tenure was at Russell Stover Chocolates as the Vice President of Marketing.
Corbion – Frozen Dough Division (Seller):
Corbion is the global market leader in lactic acid and its derivatives, and a leading supplier of emulsifiers, functional enzyme blends, minerals, vitamins, and algae ingredients. We use our unique expertise in fermentation and other processes to deliver sustainable solutions for the preservation of food and food production, health, and our planet.
The sale of the frozen dough business is the result of a portfolio assessment as part of Corbion’s Advance 2025 strategy, as announced in March 2020. Being the only (semi-)finished product line delivering to consumer outlets, whereas Corbion is a global leader in ingredients and strong in B2B markets, the frozen dough business’s fit with the new strategy was limited.
The Deal:
A Veteran, Mark came to find The DVS Group through his vast network of Army constituents. Kevin Lindsey, DVS Founder and Managing Partner, along with Sam Taets, DVS Associate, secured an investment package including preferred equity, mezzanine debt and a line of credit from UMB Bank along with a concurrently structured sale-leaseback of the plant’s East Rutherford production facility.
Corbion’s President of Sustainable Food Solutions Andy Muller: “This divestment allows us to further increase our focus on our preservation and functional systems ingredients. And we can do so in full confidence that our colleagues in the frozen dough business will be better positioned to flourish in this growth market under the new owner, with a clear, singular focus. Finally, I would like to thank our colleagues from the frozen dough business for their valuable contribution to Corbion over many years.”