Keystone Capital signed a definitive agreement for House Foods Holding USA (“House Foods”) to acquire 100% of Keystone Natural Holdings, LLC (“KNH”), a manufacturer of tofu and plant-based foods in North America. The proposed transaction is expected to close by the end of September 2022, subject to the satisfaction of customary closing conditions. 

Through this acquisition, House Foods will expand its portfolio of value-added tofu and plant-based food products and accelerate its US market expansion plans. The combined company will have eight manufacturing facilities across North America. 

Keystone Capital established the KNH platform by acquiring Nature’s Soy® in 2016, a regional plant-based food manufacturer focused on the ethnic channel. Through three strategic add-on acquisitions, KNH significantly expanded its product offering and channel reach. In 2019, KNH invested in a new manufacturing facility in Folcroft, Pennsylvania to capitalize on organic growth opportunities. The sale of KNH represents another successful outcome for Keystone Capital within its Food & Consumer investment efforts.

Whipstitch Capital served as the exclusive financial advisor to KNH in the transaction. DLA Piper provided legal services to KNH and Keystone Capital.