Cti Foods, a prominent custom food solutions provider catering to America’s leading restaurant chains, has strategically enhanced its market position through the acquisition of Liguria Foods. This significant move, announced on February 12, 2016, brings Liguria Foods, a renowned producer of premium pepperoni and pizza toppings, into the CTI Foods family, promising to broaden CTI’s offerings and strengthen its distribution channels.
Sam Rovit, President and CEO of CTI Foods, expressed enthusiasm about the acquisition, stating, “We are excited to welcome Liguria to the CTI family, and we especially like that Liguria is the pepperoni of choice for many of the most discriminating, independent and multi-unit pizzerias in the U.S.” This acquisition aligns perfectly with CTI Foods’ growth strategy, focusing on businesses that not only complement their existing operations but also introduce new, high-quality products to their customer base. Rovit further emphasized the strategic fit by adding, “Our strategy is to be on the lookout for excellent businesses like Liguria that can benefit their customers by accessing the resources of a larger company and that bring new products to our customers.”
The pepperoni market, a key segment Liguria Foods dominates, presents a robust growth opportunity for CTI Foods. With pizza sales growing at an estimated three percent annually and approximately half of all pizzas in the U.S. being ordered with pepperoni, the demand for high-quality pepperoni is substantial and continuously increasing. By incorporating Liguria’s specialized and sought-after pepperoni into its portfolio, CTI Foods is strategically positioned to capitalize on this expanding market. This acquisition not only diversifies CTI’s differentiated protein offerings but also significantly broadens its reach within the foodservice industry.
Liguria Foods, under the leadership of CEO Lance Chambers, has established itself as a market leader by prioritizing customer responsiveness and focusing on delivering authentic, high-quality, and flavorful pepperoni. Chambers commented on the alignment with CTI Foods, “We’re very pleased to align with CTI. We believe our teams are a great fit and look forward to leveraging our array of complementary capabilities as we continue to earn our customers’ business each and every day.” This partnership is expected to foster synergistic growth, combining Liguria’s product excellence with CTI Foods’ extensive resources and market access. The entire Liguria management team, under the continued leadership of Lance Chambers, will join CTI Foods, ensuring continuity and leveraging their deep industry expertise.
CTI Foods, established in 1985 and headquartered in Wilder, Idaho, has grown into a culinary-driven company with a strong focus on custom food solutions. Operating six state-of-the-art food processing facilities across the United States, CTI Foods boasts a diverse product range including cooked proteins like fajita and taco meat, as well as beans, soups, and sauces. Prior to the acquisition, CTI Foods was majority owned by Thomas H. Lee Partners and Goldman Sachs & Co., highlighting its strong financial backing and industry recognition.
Liguria Foods, with its roots dating back to 1974 and headquartered in Humboldt, Iowa, brings a rich history and specialization in premium protein pizza toppings to CTI Foods. Before joining CTI Foods, Liguria Foods was majority owned by BBH Capital Partners, the principal investing unit of Brown Brothers Harriman & Co.
The acquisition of Liguria Foods by CTI Foods, finalized on February 12, 2016, marks a strategic expansion for CTI Foods, reinforcing its commitment to providing diverse and high-quality food solutions. While the financial details of the transaction remain undisclosed, the strategic benefits are clear. By integrating Liguria Foods, CTI Foods not only expands its product portfolio but also enhances its ability to serve a wider range of customers within the dynamic foodservice industry, particularly in the growing pizza market. This acquisition underscores CTI Foods’ proactive approach to growth and its dedication to meeting the evolving needs of its clientele with innovative and premium food offerings.
