Insignia Capital Group announced that it has entered into a definitive agreement to sell Truco Enterprises, a leading maker of tortilla chips, salsa and queso sold under the On The Border® brand, to Utz Brands for a total purchase price of $480 million. The deal is expected to close in December 2020 and is subject to customary closing conditions including the receipt of regulatory approvals.
Insignia Capital Group invested in Truco in 2014 to help the company expand its distribution footprint and launch new product innovation. Together, Insignia and Truco made significant investments in sales and R&D that tripled adjusted EBITDA over the past six years.
Harris Williams & Co. is acting as exclusive financial advisor and Kirkland & Ellis LLP is acting as legal counsel to Truco Enterprises and Insignia Capital Group. Goldman Sachs is acting as lead financial advisor to Utz Brands, Bank of America is acting as financial advisor, and Cozen O'Connor is serving as legal counsel to Utz Brands, Inc.