Limerston Capital, a UK mid-market private equity firm, has successfully exited Village Bakery, selling it to French industrial bakery Groupe Menissez. The sale delivered a return exceeding 3.5x MoM and a 50% IRR.
Village Bakery, known for producing premium private label baked goods, serves major UK brands like Marks & Spencer and Tesco. Since Limerston's investment in 2021, the company has seen rapid growth, including the opening of a new 140,000 sq ft 'super bakery' in Wrexham, UK, and nearly doubling its staff to over 900 employees. The new facility features advanced automated lines for bread rolls, sourdough loaves, and pancakes.
Limerston Capital targets UK businesses with EBITDA between £5 million and £15 million, aiming to transform them into industry leaders through strategic investments and operational improvements. This transaction marks Limerston's third exit from its first fund, Limerston Capital Partners I.
João Rosa, Founding Partner at Limerston Capital, expressed satisfaction with the early exit, highlighting the significant investment and growth achieved. He credited the Village Bakery management team for their dedication to product quality and customer service, which doubled the company's sales since the super bakery's opening. Robin Jones, CEO and co-owner of Village Bakery, also praised Limerston's support and expressed optimism about the future under Groupe Menissez.
Advisors for the sellers included Stephens (financial) and CMS Law (legal), with KPMG and PwC providing due diligence.
Founded in 2015, Limerston Capital focuses on control investments in UK mid-market companies, aiming to create value through buy-and-build strategies and operational enhancements. Groupe Menissez, a family-owned business based in Feignies, France, generates around €600 million in sales and is a leading value-added industrial baker. The acquisition of Village Bakery aligns with Groupe Menissez's growth strategy, following partnerships with Boulart in Canada, Délice de France in the UK, Van Roy in the Netherlands, and Lemarié Patissier in France.
