Littlejohn buys majority stake in specialty foods distributor Lipari Foods

An investor group led by Littlejohn & Co., a US-based private equity company, has acquired a majority stake in Lipari Foods from alternative assets investment firm H.I.G. Capital in a transaction for an undisclosed amount.

The Lipari family along with the company’s management, Sterling Investment Partners, and H.I.G. Capital will continue as minority investors in Lipari Foods.

Founded in 1963 and headquartered in Warren, Michigan, Lipari Foods is a specialty food manufacturer distributor and importer, catering to independent and specialty grocers, convenience stores, and national chains.

The company offers more than 25,000 products across nine categories to around 10,000 customers and more than 15,000 retail locations in and outside the Midwest.

Lipari Foods distributes products across deli, bakery, dairy, specialty retail, seafood, packaging, confections, ethnic, and organic categories.

Littlejohn led investor group acquires majority stake in specialty foods distributor Lipari Foods. Photo courtesy of Lipari Foods.

In January 2019, H.I.G. Capital in partnership with the Lipari family and the company’s senior management team acquired Lipari Foods.

Thom Lipari — Lipari Foods CEO said: “H.I.G. has been an outstanding partner to Lipari Foods since their initial investment in 2019.

“As a result of our work together with H.I.G., Lipari Foods is larger, stronger, and more diversified today than it was four years ago.

“We are excited to partner with Littlejohn to support Lipari Foods’ next phase of growth, and are thrilled H.I.G. will remain a minority investor, highlighting their conviction in our long-term growth opportunities.”

Piper Sandler and Harris Williams acted as financial advisors for Lipari Foods while McDermott Will & Emery served as legal counsel to H.I.G. Capital and Lipari Foods.

Steven Kalter — Littlejohn Managing Director said: “We are excited to partner with Lipari given its compelling value proposition, diverse product portfolio, and superior service offering. Under Thom’s leadership, Lipari has executed a number of strategic acquisitions that have positioned the Company as a preeminent pure-play specialty food distribution platform in a highly fragmented sector.

“We look forward to building on Lipari’s strong market position and accelerating its acquisition program as it seeks to become the partner of choice to food retailers nationwide.”