Olam Food Ingredients, an operating group of Olam International, a global food and agri-business, has agreed to purchase Olde Thompson from Kainos Capital, a food and consumer-focused private equity firm, to in a transaction valued at $950 million. Headquartered in Oxnard, California, Olde Thompson is a manufacturer and supplier of private label dry spices and seasonings in North America.
Andrew Rosen, managing partner of Kainos, said, “Our investment in Olde Thompson was driven by our thesis in the growing importance of spices and flavorings as consumers seek bolder taste profiles. After meeting Jeff Shumway, the founder of Olde Thompson, nearly a decade ago, we ultimately partnered in 2018 to pursue our shared vision to grow Olde Thompson into the largest dedicated private label provider of spices and seasonings. We accomplished this by investing in our manufacturing capabilities and customer development resources, and the acquisition of Gel Spice from the Engel family in 2020 helped accelerate this strategy and was instrumental in attracting the interest of a terrific strategic acquiror in Olam.”
Jeff Shumway, chairman of Olde Thompson, said, “Our family acquired Olde Thompson in 1966 when the company primarily sold pepper mills that remain a fixture in homes across the country. Over the years, with the help of our incredible employees, we transformed our company into one of the largest spice companies in the U.S. A turning point in our history was when we partnered with Kainos and its operations team, enabling us to attract world-class talent to professionalize our management team and embark on a capacity expansion and automation plan to make us one of the most efficient spices producers in the industry. We have had a relationship with Olam for more than 15 years, and this broader partnership as part of the Olam family represents an exciting new chapter for Olde Thompson.”
David Sugarman, CEO of Olde Thompson, said, “The acquisition of Olde Thompson by Olam is a terrific outcome for all of our key stakeholders. For our customers, this partnership pushes Olde Thompson to the forefront of ESG as it provides access to Olam’s extraordinary international sourcing capabilities and spice expertise that will allow us to provide a new level of traceability and transparency to the marketplace. Our employees will benefit from additional resources and opportunities that will accelerate our growth even further.”
Sawaya Partners LLC and Lazard served as financial advisors to Olde Thompson. Weil, Gotshal & Manges LLP served as legal counsel to Olde Thompson.