Milling & Baking News - July 9, 2013 - 10

Business 

Arbor Investments expands in
baking, buys New French Bakery
CHICAGO — Arbor Investments, a
Chicago-based private equity firm,
has completed the acquisition of The
New French Bakery, Inc., a specialty
baker located in Minneapolis.
The New French Bakery was established in 1995 adjacent to the New

French Cafe, a Minneapolis restaurant that operated in the city’s Warehouse District from 1977 until 2001.
Established by Peter Kelsey, the New
French Bakery bakes and markets a
wide range of premium take-andbake, par-baked and fresh artisan
bread sold into the in-store-bakery
and food service channels well beyond the Minneapolis-St. Paul metropolitan area. Customers cited by
the company include Supervalu Inc.
supermarkets and the Buca di Beppo
Italian Restaurant chain.
Its products include baguettes,

ciabatta, breadsticks, bread and rolls
and a wide range of other artisan
bread varieties.
Terms of the transaction were not
announced, but Arbor said it partnered in the acquisition with baking
company management, led by Jeff
Getzkin, vice-president of
sales, as well as Michael
Schultz, a baking industry veteran. Mr. Schultz
held senior management positions with Best
Brands Corp., a maker of
laminated dough, cakes,
muffins,
fillings
and
mixes. Best Brands was
acquired in 2010 by CSM
Bakery Products.
“We were drawn to
New French Bakery due
to the company’s superior quality
products and reputation in the baking industry,” said Brody Lynn of Arbor Investments. “The company has
thrived under the ownership of Peter Kelsey, who was recently named
Minnesota’s Small Business Person of
the Year, and we are thrilled to be acquiring a business as it enters its next
phase of growth.”
Mr. Kelsey said he was drawn by
Arbor’s extensive experience in the
food sector.
“(It) made them a perfect partner for
New French Bakery, our management

Grain elevator explosion at
Indiana co-op kills worker
UNION MILLS, IND. — A Co-Alliance
L.L.P. grain storage bin in Union Mills
exploded June 24, resulting in a fatality. Co-Alliance, an Avon, Ind.-based
farmer-owned supply and marketing
cooperative, operates a grain marketing service at Union Mills and also offers agronomy services and markets
power fuels and propane in the vicinity. Union Mills is 50 miles southeast
of Chicago and has multiple grain and
fertilizer storage facilities on site.
According to the La Porte County
Sheriff’s Office, the explosion occurred and was limited to a concrete
grain silo that is adjacent to a railroad
spur on the grounds of the co-op.
“No hazardous chemicals were involved or released as a result of the
explosion, and it is not believed that
10 / July 9, 2013 Milling & Baking News

a fire was involved,” the sheriff’s department said. “The cause of the explosion is not yet known and it was
believed that the victim, who is a La
Porte County Co-Op employee, was
working in the silo at the time of the
explosion.”
Killed in the accident was James
Swank, 67, who had worked at the facility for seven years.
“This is a profound loss for our coop family,” said Kevin Still, chief executive officer of Co-Alliance. “Our
thoughts and prayers are with James
and his family during this very difficult time.”
Co-Alliance said that although investigations are still on-going, the focus for the cause is centered on grain
dust ignition. MBN

team, employees and customers,” he
said. “I’m very proud of what we
have accomplished at New French,
and look forward to Arbor, with its
resources and capital, building upon
the foundation we have laid over the
last 18 years.”
A profile of Mr. Kelsey in the Minneapolis StarTribune, published in
connection with the Small Business
Person of the Year Award, noted the
baking company had 27 employees at
the end of 1997 and has grown to 400
presently working at two Minneapolis
plants. Other customers cited by the
StarTribune include St. Olaf and Carleton colleges, Lunds supermarkets
and Target Corp.
“We are very excited about our investment in New French Bakery,” said
Gregory Purcell of Arbor Investments.
“We believe that now more than ever
consumers want authentic, high-quality baked goods in their neighborhood
grocers’ in-store-bakery. New French
Bakery’s customer loyalty is driven by
this premise, as the consumer can taste
the company’s differentiating product
quality versus the competition.”
Established in 1999, Arbor has $600
million of assets under management
across three funds. It invests exclusively or invested in over 30 food and
beverage companies in North America
and currently has $600 million of assets under management across the
food and beverage industry. It has
invested in more than 30 companies
over the past 14 years, selling about
two thirds of them, generally in six
years or fewer.
Other Arbor portfolio companies
in baking include Oven Fresh Baking in Chicago, which sells products
under the Dressel’s brand, and Gold
Standard Baking, which produces
muffins, croissants, Danish, bread
and rolls. Both companies are based
in Chicago. MBN

General Mills closing
California mix plant
COMMERCE, CALIF. — General
Mills, Inc. is closing a baking mix plant
in Commerce. The company said production will be consolidated to other
facilities in the region.
The plant produces baking mix products for General Mills’ food service business. The company said the decision to
close was to create operating efficiencies
in the company’s supply chain.
The closing will affect 33 employees, according to the company. MBN
bakingbusiness.com / world-grain.com

http://www.bakingbusiness.com http://www.world-grain.com

Milling & Baking News - July 9, 2013

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