Private debt firm Antares Capital has backed the private equity acquisition of Mexican food chain Del Real Foods by Palladium with a $121.6 million senior debt facility.
Del Real Foods was established in 2002 by the Cardenas family. The California-based company sells Mexican food products, including prepared meats and fire-roasted salsa to supermarket retailers across the US.
Further details on the loan were not disclosed by the firms involved, although Palladium said it had acquired a “significant” stake in the company.
Last year, the Canadian Pension Plan Investment Board acquired Chicago-based Antares in a $12 billion deal and has since relaunched its Mid-Market Lending Growth Program alongside LStar. In August, sister publication PDI revealed the firm’s plans to work with third-party institutional investors to complete unitranche and senior secured credit deals on a recurring basis.
“Del Real is a company well positioned for growth, both regionally and nationally, with its authentic, on trend products,” said Tim Brand, vice president at Antares.
Palladium managing director Luis Zaldivar said: “We believe that Del Real is poised to benefit from several macro trends that are dramatically reshaping consumer food choices.”
Established in 1997, Palladium focuses on investing in the mid-market and has $2 billion of assets under management. The firm invests in a number of industries, including food, financial services and healthcare.