Ya YA Foods Corporation, a leading North American co-packer specializing in aseptic beverages, has announced the acquisition of Truss Beverage Co. from Tilray Brands.
Tilray announced this week to buy four craft breweries from Molson Coors BeverageCompany following its strategy to dominate the craft beer market (inside.beer, 13.8.2024). It is not known whether the two transactions coincidentally happened at the same time or if there is a larger plan behind them.
Ya Ya Foods is a portfolio company of Entrepreneurial Equity Partners (e2p), a Chicago-based private equity firm focused on the food and consumer packaged goods industries.e2p invested in Ya YA Foods alongside the Abbas Al-Ali family in February 2021, with Ya YA Foods founder and CEO Yahya Abbas continuing to lead the Company.
The primary asset acquired in the new deal is a state-of-the-art beverage manufacturing facility located in Belleville, Ontario, Canada.The acquisition will expand Ya YA Foods’ production capabilities significantly.
The Belleville facility, constructed in 2020, spans 186,000 square feet and boasts an annual production capacity of 250,000 hectoliters. This acquisition marks the third production site for Ya YA Foods in North America, strengthening its position as a leader in aseptic beverage manufacturing. The facility will allow Ya YA Foods to expand its product offerings to include new capabilities such as canning and glass packaging, alongside its existing aseptic PET, carton, and gable top chilled products.
Yahya Abbas, founder and CEO of Ya YA Foods, expressed excitement over the acquisition, stating, "The addition of the Truss facility to our portfolio will enable us to offer new capabilities and increase our capacity to serve both new and existing customers across North America." This strategic expansion aligns with Ya YA Foods' vision to enhance its service offerings and continue its growth trajectory in the beverage industry.
The acquisition of Truss Beverage Co. is the second major deal for Ya YA Foods under the ownership of e2p, following their initial investment in the company in February 2021. Mark Burgett, Partner at e2p, noted that the acquisition further cements Ya YA Foods' status as a leader in aseptic beverage manufacturing, highlighting the growth prospects this move brings for the company.
Truss Beverage Co., originally established as a joint venture between Tilray Brands and Molson Coors Beverage Co., was fully acquired by Tilray last year when it bought out Molson Coors' 57.5% stake (inside.beer, 18.8.2023). The Belleville facility, which was part of this venture, is a significant asset that will now support Ya YA Foods' ambitions to scale up its operations and innovate in the beverage sector.
The financial terms of the transaction were not disclosed, but the acquisition is a clear indication of Ya YA Foods' commitment to expanding its footprint in the North American beverage market. This move also reflects e2p’s strategy to invest in high-growth companies within the food and beverage sectors, complementing their portfolio, which includes other notable companies such as World Food Holdings, Salm Partners, MBC Companies, and Gardian Holdings.
