Primient Announces Ownership Change
May 23 2024 - 10:14AM
Business Wire
Primient (or the “Company”), a leader in plant-based food and
industrial ingredient production, announces the Company’s move to
sole-ownership by KPS Capital Partners, LP (“KPS”). The transaction
is expected to be completed by the end of July 2024 and is subject
to customary closing conditions and approvals.
This is the second investment KPS has made in the Primient
business. In April 2022, KPS acquired a controlling interest in
Tate & Lyle PLC’s (LSE: TATE.L, “Tate & Lyle”) Primary
Products Business in North America and Latin America, establishing
Primient as an independent business.
Primient’s Bold Next Step
This next step in Primient’s journey comes on the heels of an
unprecedented $700 million in capital investments over the next
five years focused on modernizing our manufacturing footprint and
positioning the Company for growth in the years to come.
“We are proud of the Company we’ve built under KPS’ ownership in
the past two years,” said Jim Stutelberg, Chief Executive Officer
of Primient. “Their belief and commitment have been instrumental in
setting Primient up for success from day one. This investment
underscores KPS’ confidence in the strength of our business. We are
the most committed, most reliable, and most sustainable supplier in
our industry, and will be for decades to come.”
A Legacy Rooted in Proven Ingredients and Potential
Primient brings more than 100 years of experience in the food
and industrial ingredients markets - first as the A.E. Staley
Manufacturing Company and most recently as part of Tate &
Lyle.
The Company delivers the highest quality plant-based solutions
and services with a clear path to evolving their portfolio to
unlock the emerging potential of the bioeconomy.
Michael Psaros, Co-Founder and Co-Managing Partner of KPS, said,
“Primient’s performance has exceeded our expectations, and this
second investment represents KPS’ continued commitment to Primient,
its customers and employees. Under our ownership, Primient will
continue to modernize its operations, supporting growth initiatives
and industry-leading sustainability practices. We intend to make
further strategic investments to strengthen Primient’s role within
the corn wet milling industry and the broader bioeconomy.”
About KPS Capital Partners, LP
KPS, through its affiliated management entities, is the manager
of a family of investment funds with approximately $21.4 billion of
assets under management (as of December 31, 2023). For over three
decades, the Partners of KPS have worked exclusively to realize
significant capital appreciation by making controlling equity
investments in manufacturing and industrial companies across a
diverse array of industries, including basic materials, branded
consumer, healthcare and luxury products, automotive parts, capital
equipment and general manufacturing. KPS creates value for its
investors by working constructively with talented management teams
to make businesses better and generates investment returns by
structurally improving the strategic position, competitiveness and
profitability of its portfolio companies, rather than primarily
relying on financial leverage. The KPS Funds’ portfolio companies
currently generate aggregate annual revenues of approximately $20.3
billion, operate 222 manufacturing facilities in 26 countries, and
have approximately 48,000 employees, directly and through joint
ventures worldwide (as of December 31, 2023). The KPS investment
strategy and portfolio companies are described in detail at
www.kpsfund.com.
About Primient
Primient is a leading producer of food and industrial
ingredients made from plant-based, renewable resources. Founded in
1906 as A.E. Staley Manufacturing Co., Primient has an over
100-year history of producing corn-derived products in the United
States. The Company produces corn-derived products which are used
in a wide variety of applications including carbonated beverages,
confectionary products, packaging applications and animal feed for
some of the world’s most recognizable food and beverage brands.
Primient employs approximately 1,800 people across six
manufacturing facilities in the United States and Brazil. For more
information, visit www.primient.com.
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PRIMIENT MEDIA CONTACT Jennifer Walker
jennifer.walker@primient.com
KPS MEDIA CONTACT Russell Sherman pro-KPS@prosek.com