Lassonde Industries acquires Summer Garden Food Manufacturing from Zidian Group

In a strategic move to expand its portfolio in the food and beverage sector, Lassonde Industries Inc. (TSX: LAS.A) has signed a definitive agreement to acquire Summer Garden Food Manufacturing, a subsidiary of The Zidian Group.

This acquisition marks a significant step for Lassonde, a prominent manufacturer of private label and branded food and beverage products, enhancing its capabilities and offerings in the specialty food sectors. Summer Garden, based in Boardman, Ohio, operates a Green LEED-certified manufacturing facility on a 10-acre campus with advanced research and development and production capabilities. This facility is equipped for both high-acid and low-acid (retort) food manufacturing.

Brown Gibbons Lang & Company (BGL), serving as the exclusive financial advisor to The Zidian Group, facilitated this transaction, highlighting the deal as a testament to BGL’s expertise in consumer-packaged goods and branded food mergers and acquisitions.

Summer Garden, under the ownership of The Zidian Group, has developed a strong reputation for its premium sauces and other shelf-stable products. The company’s portfolio includes more than 250 products sold in over 20,000 retail outlets. Notable brands under Summer Garden include G Hughes Sugar Free, recognized for leading the sugar-free barbecue sauce segment; Little Italy in the Bronx, offering super-premium Italian pasta sauces; and Gia Russa, featuring a diverse range of Italian food products.

The acquisition by Lassonde is seen not just as a business transaction but as a partnership that aligns closely with the values and entrepreneurial spirit of Summer Garden. Thomas Zidian, founder and owner of The Zidian Group, expressed satisfaction with the deal, emphasizing the importance of finding the right partner to continue the legacy and growth of the family-owned business.

“I am extremely pleased with the outcome of this transaction. The goal for my family when we began considering alternatives for the company was to identify the ideal partner who could preserve and grow what we have built over the last 75+ years with Summer Garden. BGL did an incredible job positioning and communicating our story to the market, which enabled us to select Lassonde to support the company’s exciting growth trajectory within both the Branded Products and Contract Manufacturing divisions,” said Zidian.

The BGL Food and Beverage investment banking team, led by BGL Managing Director Daniel Gomez, played a crucial role in the transaction, leveraging their deep sector knowledge and extensive experience across the food and beverage landscape.

This acquisition is indicative of the ongoing consolidation trends within the food and beverage industry, where companies are increasingly looking to diversify product lines and enhance manufacturing capabilities to meet evolving market demands. Lassonde’s acquisition of Summer Garden is poised to create synergies that enhance the company’s growth in the branded and private label specialty food sectors, providing a broader range of products to meet consumer needs.