Otis Spunkmeyer, Inc. Acquires Chippery
Code Hennessy & Simmons LLC (“CHS”) today announced that Otis Spunkmeyer, Inc. (“Otis Spunkmeyer”), a portfolio investment of Code Hennessy & Simmons IV LP, acquired Merkel McDonald, Inc., a manufacturer and distributor of frozen cookie products doing business as “Chippery.”
Founded in 1984 as a retail cookie chain, Chippery now manufacturers frozen cookie dough and thaw-and-serve cookies in a single 97,000 square foot facility in Austin, Texas. Chippery serves national and regional restaurant chains, hotel chains, stadium and sports arenas, schools and other large scale institutions. Chippery is one of the largest suppliers of frozen cookie dough to fundraising groups including schools, civic organizations, clubs and churches.
Otis Spunkmeyer is a leading North American manufacturer, marketer and distributor of frozen cookie dough, pre-baked muffins and other hand held sweet baked goods to foodservice accounts and food retailers. Since 1994, Otis Spunkmeyer has held the #1 market share in frozen cookie dough and the #2 market share in branded pre-baked muffins in the foodservice channel. Through broadline distribution and its own unique, nationwide direct-store-delivery distribution system, Otis Spunkmeyer annually distributes more than 150 million pounds of frozen cookie dough and muffins to over 120,000 customers across North America.
John Schiavo, President and Chief Executive Officer of Otis Spunkmeyer, said, “Driven by the commitment of its founding partners and highly talented employees, Chippery has been a fast growing and respected competitor of Otis Spunkmeyer for several years. Together, we will market high quality branded and private label products to our core foodservice and retail markets and operate more efficiently through the integration of certain processes.” Combined, the companies generate revenues of approximately $425 million.
For more information on Otis Spunkmeyer, please visit the company's website at www.spunkmeyer.com.
For more information on Chippery, please visit the company’s website at www.thechippery.com.
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