3 July 2006 - Australia's second largest biscuit producer, Paradise Food Industries announced today they have been acquired by the Sydney based private equity investment firm Archer Capital for an undisclosed sum.
This acquisition will allow the Brisbane-based Paradise Foods' heritage of Australian owned and made to continue.
Paradise Foods was privately-owned for over 20 years and employs over 750 people nationally, with the majority of staff involved in manufacturing biscuits, muesli and cereal bars at its Carole Park factory.
Archer, the sole institutional investor in the deal is one of Australia’s leading private equity investment firms with approximately $750 million in funds under management. Paradise Foods’ range is available nationally through major supermarkets.
Tim Wong, whose family owned Paradise says the deal recognises the potential in Paradise Foods.
“This exciting change, will allow Paradise to grow and pursue new opportunities – not only for the brand and employees, but the biscuit eaters of Australia,” he said.
Archer partner, Mr Justin Punch says the deal, finalised on 30 June, has been seamless with no interruption to normal business.
“We are proud to have secured the business and look forward to growing opportunities with this fresh, Australian-owned brand,” he said.
“It’s been a collaborative and friendly process with the existing owners.”
“We invest in businesses with a strong market position, growth potential, strong cash flows and significant opportunities; who are usually ready for their next phase of development. “
“Paradise fits the brief on all those measures” he said.
“ The Paradise head office will continue to be based in Brisbane and there will be no job losses as a result of the sale. We have appointed a new CEO, Jim Sybertsma who replaces Tim Wong.”
“Jim has extensive experience in the Australasian food and beverage industry, including roles with the $500 million New Zealand Dairy Foods business and DB Breweries”.
“Jim played a lead role in transforming the business into a highly successful and profitable enterprise and in managing the transition from wholly-owned subsidiary to a stand-alone public company” he said.
Archer’s track record includes John West Foods, Repco, Dome Coffees and Tasman Building Products. Current acquisitions for Archer include Amart All Sports, Emco, Sulo, Australian Geographic and the RED Paper Group.
Since 1986 Archer Capital has made over 30 acquisitions involving an aggregate funding in excess of $3.4 billion. Archer takes a hands-on, operational approach to its investment assessment and ongoing management of businesses acquired.