MN Candy Co. Farley’s to Merge with Another in IL
Round Lake-based Farley’s & Sathers Candy Company, Inc., has agreed to merge with Forest Park, Illinois based Ferrara Pan Candy Company, Inc., the two companies announced Wednesday.
Financial terms of the deal were not disclosed.
The combined company will be called Ferrara Candy Company, Inc., and will be headed by current Ferrara Pan CEO Salvatore Ferrara II. Private equity firm Catterton Partners, which owns Farley’s & Sathers, will be a majority investor in the combined company.
Bryan Darrow, a spokesman for both companies, declined to comment on where the combined company will be based, or how the merger will affect employees at the two companies.
Farley’s & Sathers was founded in 2002, and its 2011 sales totaled an estimated $670 million, according to a report in trade publication Candy Industry. The company makes several lines of confectionery and gum products, including Brach's, Now and Later, Trolli, Jujyfruits, and Chuckles. According to a Star Tribune report, the company has 1,100 employees, including 250 in Round Lake. In addition to its headquarters, it has six manufacturing plants across the country and in Mexico.
Ferrara, meanwhile, makes both private-label confections and its own lines of candy under the brands Lemonheads, Red Hots, Black Forest, Atomic Fireballs, and Boston Baked Beans. Its sales totaled $324 million last year, according to Candy Industry.
“This combination portends an exciting future and will allow the combined company to continue to grow faster, increase efficiencies, and take innovation to the next level,” Scott Dahnke, managing partner at Catterton Partners, said in a statement. “As shareholders, we are confident that this merger will be a great success.”