CORE Industrial Partners Sells J&K Ingredients: A Boost for Natural, Organic, and Clean Label Products

Chicago, IL - CORE Industrial Partners, a private equity firm focused on manufacturing, industrial technology, and industrial services, has announced the sale of J&K Ingredients LLC to SK Capital, a private investment firm specializing in specialty materials, ingredients, and life sciences. This agreement marks a significant milestone for J&K, which is renowned for its innovative natural, organic, and clean label food and beverage ingredients. The transaction is expected to be finalized before the end of the year.

J&K Ingredients, founded in 1899, has been a leader in the bakery industry's natural mold inhibitor solutions. The company has continually pushed the boundaries of clean label ingredients, custom formulation, and manufacturing across various food and beverage markets. In addition to its popular natural mold inhibitor product lines, J&K offers a comprehensive range of specialty ingredients that includes bread and roll bases, dough conditioners, egg and milk replacers, flavors, emulsions, and stabilizers, among others. With over 400 items across 13 categories, J&K has established itself as a go-to supplier for premium food and beverage ingredients.

CORE Industrial Partners initially invested in J&K in October 2020 with a clear vision of expanding the company's bakery ingredients offerings and venturing into new food and beverage markets with its natural preservatives. By partnering with J&K's talented management team, CORE successfully executed its operating playbook, driving significant value and positioning J&K for future growth.

John May, Managing Partner of CORE, expressed his satisfaction with the outcome, stating, "This success story highlights CORE's ability to identify and invest in businesses to help them achieve the next stage of growth. Together with the J&K management team, we have created substantial value while setting the stage for J&K's continued success in the future."

TJ Chung, Senior Partner of CORE and Chairman of J&K, expressed pride in J&K's history in the food and beverage ingredients industry. He emphasized the company's commitment to innovation and premium quality products, highlighting how J&K's expansion of its premium offerings will result in higher quality foods in grocery stores and restaurants.

Ric Alvarez, CEO of J&K, also expressed his pleasure in partnering with CORE and J&K to further enhance J&K's legacy. Alvarez noted that despite a dynamic operating environment, the strategic growth plan was successfully implemented. J&K remains committed to delivering innovative and trusted solutions to its customers and looks forward to future opportunities for the business.

The transaction was facilitated by Harris Williams, who provided exclusive financial advisory services, and Kirkland & Ellis, who acted as legal advisor to CORE and J&K.

About CORE Industrial Partners:

CORE Industrial Partners is a private equity firm with over $700 million of committed capital. The firm focuses on investing in North American lower middle-market manufacturing, industrial technology, and industrial services businesses. CORE's team consists of highly experienced former CEOs and investment professionals who bring deep industry knowledge and a proven track record of building market-leading businesses. Through their capital, insights, and operational expertise, CORE partners with management teams to build best-in-class companies. For more information, visit www.coreipfund.com.

About J&K Ingredients:

Founded in 1899, J&K Ingredients is a leading manufacturer in the bakery, food and beverage, and pet food ingredients industry. The company specializes in food preservation solutions and serves diverse industry segments, including baking, food processing and manufacturing, foodservice providers, food packaging, and nutraceuticals and functional foods. With its technical expertise and commitment to customer service, J&K Ingredients helps businesses maintain product quality and freshness. Headquartered in Paterson, New Jersey, J&K Ingredients operates three facilities and holds FDA, Halal, Kosher, FSSC 22000, and Organic certifications. For more information, visit www.jkingredients.com.

In conclusion, the sale of J&K Ingredients to SK Capital through CORE Industrial Partners marks a significant development in the food and beverage ingredients industry. This transaction will not only enhance J&K's market position but also contribute to the availability of natural, organic, and clean label products. With their combined expertise, J&K and SK Capital are poised to make a lasting impact on the industry, offering innovative solutions and maintaining the highest quality standards.