Alantra has advised Strong Roots on the raising and successful close of an $18.3m Series A fundraise, led by US-based Goode Partners LLC
SECTORFood & Beverage
Value $18.3 million
Alantra, the independent global mid-market investment banking and asset management firm, has advised Strong Roots, the company revolutionising the frozen food industry with its plant-based, natural health-foods, on the raising and successful close of a Series A fundraise at $18.3m, led by New York-based private equity firm Goode Partners LLC. This investment will support the Company’s expansion into the US, as well as accelerate household penetration in the UK and Irish markets.
Strong Roots is one of the fastest-growing food and beverage brands in the UK where its products are stocked by all major UK retailers, including Tesco, Asda, Sainsbury’s and Marks & Spencer. The brand recently expanded into over 3,000 US stores via major US retailers, including Target, Wegmans and Whole Foods Market. Found in the freezer aisle, the award-winning line includes premium root vegetables, veggie burgers and freezer favourites such as Cauliflower Hash Browns.
Strong Roots was launched four years ago by founder and CEO Samuel Dennigan and has achieved sales growth of c.110% per annum over the last two years. The Company expects retail sales of $50m (£41m) this year and is targeting sales of $300m (£246m) by 2023.
Charles Lanceley, Director at Alantra, who advised on the deal, said: “Strong Roots is one of those rare brands that has managed to capture the imagination of consumers whilst addressing a genuine need in the marketplace. As a result, the brand has achieved remarkable growth in an area of the supermarket that hasn’t changed for decades.”
He added: “We are delighted to have helped Sam and his team find an investment partner that brings not just financial and operational resources, but a deep knowledge of the food and beverage space and a clear understanding of what makes entrepreneurial and disruptive brands flourish.”
Samuel Dennigan, Strong Roots’ founder and CEO, said: “Consumers globally are more educated than ever about harnessing the nutritional benefits and delicious taste of plant-based foods and are looking for high-quality options that are convenient to prepare. We’re excited to bring our unique, plant-based products to people across the US.”
Dan Bonoff, a Partner at Goode Partners, said: “We could not be more proud to be partnering with Sam and the Strong Roots team to help fuel the next stage of its growth story. In an impressively short amount of time, Sam has built an exciting brand that resonates with consumers’ increasing preferences towards healthful and environmentally sustainable foods.”
Alantra’s international Food and Beverage sector team comprises over 25 senior M&A practitioners based around the globe that work closely to bring together strategic trade acquirers and investors with business owners looking to realise value.
The Alantra team have advised on nine food and beverage transaction in the last 12 months.