Mama’s Creations Inc. has acquired all of the assets of Crown I Enterprises Inc., a full-service manufacturer of value-added proteins and ready-to-eat meals and wholly-owned subsidiary of Sysco Corp.
Crown brings about $56 million in profitable annual revenue to Mama’s Creations based on results for the fiscal year ended June 28, increasing the company’s sales base by nearly 40 percent and broadening its customer reach into new accounts. It primarily serves “hard to break into,” premium retail partners who are not current Mama’s customers, complementing the company’s current roster and opening new channels for potential growth.
The acquisition also adds new strategic capabilities such as a recently upgraded and expanded 42,000-square-foot USDA-certified production facility in Bay Shore, New York – complete with significant incremental grill capacity on equipment Mama already runs – along with about 200 employees, which will expand Mama’s Creations’ production capacity. Close to the company’s Farmingdale location, it provides for production and warehousing efficiency in addition to management synergies.
While expected to be accretive, the core rationale is to build capabilities: new capacity on familiar equipment, instant access to premium customers and aligned “Grandma Quality” standards. Bringing Crown into the Mama’s family will scale efficiencies and new opportunities to enhance operational and SG&A execution, which should allow Mama’s to deliver better service for customers and improved financial performance.
“Having watched and competed against Crown since the Creative Salads acquisition, we have always respected their ‘Grandma Quality’ principles, reinforcing our quality promise while expanding our operational capabilities, and we are excited to welcome them to the Mama’s family,” said Adam L. Michaels, chairman and CEO of Mama’s Creations.
“We have had the opportunity to get to know Andy and his team over the past few months, learn about the incredible work he has done to build a culture-first organization consistent with Mama’s culture, and we couldn’t be more excited to give him and his team the tools and support needed to realize their full potential. By opportunistically acquiring a profitable plant 10 miles from Farmingdale that runs the same grill platform, we gain immediate and de-risked capacity and clear synergies to our core business. We see a clear path to expand our product penetration across Crown’s premium customer base through cross-selling, and with its nearby New York facility we anticipate a seamless integration that further enhances our ability to better service our new customers.”
[RELATED: MamaMancini’s Transitions Company Name To Mama’s Creations]