CORE completes agreement with supplier of ingredient
The Chicago-based private equity firm CORE Industrial Partners LLC has purchased Paterson, New Jersey-based J&K Ingredients Corp., a producer of ingredients for baked goods. The company specializes in natural, organic, and clean label products for its product line.
Established in 1899, J&K Ingredients created the first natural mold inhibitor for the baking industry over 40 years ago and continues to lead the way in custom formulation, manufacturing, and innovation of natural mold inhibitors. Three of the company’s most recognizable product lines are Rice-Mate, SOR-Mate, and Bred-Mate. The first naturally occurring fruit substitute for potassium sorbate and sorbic acid is called SOR-Mate.
Furthermore, J&K Ingredients provides over 400 products in 13 categories, such as stabilizers, emulsions, flavors, milk substitutes, dough conditioners, and bases for bread and rolls. Commercial bakeries as well as distributors and wholesalers of bakery goods are among the company’s clientele.
J&K Ingredients is certified by the Food and Drug Administration, halal, kosher, FSSC 22000, and organic standards. The company has three locations in Paterson.
According to CORE managing partner John May, “J&K is a pioneer in the development of on-trend, clean label ingredients.” “We believe J&K is well-positioned to benefit from this powerful tailwind given its scalable operations, broad product portfolio, and in-house ability to innovate and develop new formulations through its cutting-edge R&D lab,” the statement reads. “The food industry continues to covertly to clean label ingredients in response to consumer demand.”
According to CORE partner Matthew Puglisi, the private equity firm has found many ways to boost organic growth in its operations, such as quickly bringing newly developed new products to market.
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In order to increase the company’s client base, product offering, and end market reach, he stated, “We’ll work to augment these compelling organic growth initiatives with strategic acquisitions.”
J&K Ingredients president James K. Sausville described CORE as a perfect match for the areas on which J&K is concentrating its efforts.
He stated, “I was looking for the perfect partner that could provide the resources and support to execute substantial growth opportunities while respecting our unique history, culture, and values. I am a fourth-generation owner of a family business that proudly traces its founding back to the 19th century.” “On behalf of all J&K Ingredients employees, we’re excited to start this next phase of company growth. CORE is the perfect fit.”
CORE is a private equity firm that only makes investments in North American manufacturing and industrial technology firms. The company has participated in over 50 transactions with a combined enterprise value of over $2.5 billion. Currently managing $230 million in assets, CORE invests out of an institutional fund.