HomeFoodSara Lee Australia finds new owner | 2021-08-25

Sara Lee Australia finds new owner | 2021-08-25

CHRISTCHURCH, NEW ZEALAND — New Zealand-based investor group South Island Office (SIO) has reached an settlement to accumulate the Sara Lee desserts and baked meals enterprise in Australia from McCain Foods (Aust) Pty. Ltd. Financial phrases of the transaction, which is a part of a partial administration buyout with Sara Lee’s current managing director, weren’t disclosed.

Once accomplished, the transaction will mix Sara Lee with Christchurch-based baking firm Original Foods Baking Co., which SIO acquired in February.

McCain acquired the Sara Lee enterprise from Hillshire Brands Co. in 2013 for about $85 million. At the time, the transfer was described as a approach for McCain to broaden its vary of merchandise throughout desserts, meals and snacking events. As a part of its technique to develop the Sara Lee enterprise, McCain named Mark Mackaness as a devoted common supervisor in 2019 to construct standalone enterprise functionality, working independently from McCain and permitting for a comparatively seamless transition of the enterprise. Then, in October 2020, McCain employed an funding banker to public sale the Sara Lee enterprise.

Following SIO’s acquisition of Sara Lee, Mr. Mackaness will change into an fairness accomplice and group chief govt officer. Sara Lee’s management staff will probably be staying with the enterprise, permitting for continuity for groups, prospects and suppliers, SIO mentioned.

“Sara Lee is almost entirely complementary to Original Foods Baking Co.,” Mr. Mackaness mentioned. “Original Foods Baking Co. is already branching out to Australia and beyond with its range of brownies, slices, bites and more. At Sara Lee, we have built an iconic Australian bakery brand, and our quality ice cream, cheesecakes, apple pies, danishes and puddings have been a household favorite in Australia and New Zealand for 50 years.

“This partnership allows both businesses to gain exposure to new channels and markets as we have different strengths in retail and foodservice in Australia and New Zealand. Sara Lee marked our 50th birthday in June, and Original Foods Baking Co. celebrated its 30 years in the same month, so it seems we have been aligned in our love of baking for many years. Our teams are a natural fit.

“Since 2013, McCain has invested more than A$40 million in Sara Lee’s product innovation and infrastructure to create a successful, well-run business that is prepared for growth and future, so we will look to continue to innovate and maintain our growth journey from day one. I am excited and confident about the future of Sara Lee with Original Foods Baking Co. We will continue to run independently, employing locally and offering customers the same quality range. As such, while we’re not looking for immediate ‘synergies’ — our businesses complement each other perfectly, so we’ll be looking for opportunities to partner for ongoing growth.”

Mr. Mackaness mentioned the Sara Lee plant in Lisarow, New South Wales, was inbuilt 1971 beside orchards, the place it used to supply oranges for the well-known Sara Lee Orange cake. Today, Sara Lee nonetheless sources 90% of its components domestically, whereas additionally using 220 individuals from the area.

“The future is bright for Sara Lee,” Mr. Mackaness mentioned. “Uniting two great baking businesses that will work together to grow into Australia and New Zealand’s premier frozen baked goods supplier is genuinely exciting. We will be investing back behind the Sara Lee brand to continue to give Aussie and Kiwi consumers the great classics they love, with a lot of new products to come as well. Importantly, Sara Lee has been very much a sweet part of the Central Coast food manufacturing landscape for 50 years at the Lisarow bakery, and we look forward to this continuing well into the future.”

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