CSW Successfully Exits Investment in Sqwincher Corporation
New York, NY, August 31, 2015
— CSW Private Equity (“CSW”) announced the completion of the sale of its portfolio company Sqwincher® Holdings, LLC (“Sqwincher”) to KENT® Precision Foods Group (“KPFG”), a wholly owned subsidiary of KENT® Corporation, located in Muscatine Iowa. KPFG is a dry blending and packaging food company specializing in providing high quality products in the foodservice industry and consumer products businesses.
Founded in 1975 and headquartered in Columbus, Mississippi, Sqwincher is a leading provider of hydration solutions to a diverse and unique customer base in the industrial, home office delivery (“HOD”), military, foodservice, education, e-commerce and specialty retail channels. In 2006, CSW partnered with CEO Tommy Howard and Senior Management to purchase a controlling interest in the company from the Howard Family. Since 2006 a significant effort and investment was made to enhance the management team in key functional areas including Sales & Marketing, and Finance and Operations, enabling the Company to successfully execute its strategic initiatives such as developing new channels of distribution, product introduction, international expansion and brand development. As a result, Sqwincher accelerated new product introductions and experienced strong sales growth throughout CSW’s ownership.
Tommy Howard, President and CEO of Sqwincher said,” It has been a pleasure working with CSW. Their approach is truly growth oriented and patient in nature. They bring a unique operating perspective which has allowed us to grow our product line and distribution channels. They understand what it takes to operate a business.”
Michael Smart and Rob Sarrazin of CSW stated: “We are extremely proud of our investment in Sqwincher as it provided a solid return on invested capital for our Limited Partners and continues to prove the success of our strategy of partnering with talented Management Teams while focusing on creating value through leveraging our operational expertise,”
Silverwood Partners acted as financial advisor and Baker Hostetler LLP served as legal advisor to Sqwincher. Terms of the transaction were not disclosed.
About CSW Private Equity:
CSW is a New York based private equity firm specializing in leveraged buyouts, recapitalizations, and growth capital financings for lower middle market companies in the general industrial and consumer products sectors.