TURIN, ITALY AND INVERMERE, CANADA – The Lavazza Group this week announced the acquisition of an 80% interest in Canadian organic coffee company, Kicking Horse Coffee Ltd.
Lavazza purchased the equity stake from private-equity fund Swander Pace Capital, who had originally acquired the investment in 2012 in partnership with Jefferson Capital and United Natural Foods.
With this transaction, Lavazza secures a majority stake in the company, which is currently valued CAD 215 million. Elana Rosenfeld, who founded Kicking Horse Coffee in 1996, will retain a 20% equity stake and will continue as Chief Executive Officer.
A spokesperson for Lavazza stated the acquisition represents an important step for the company’s development strategy in the North American market.
It was
reported last week that Lavazza had been eying up potential acquisitions within the coffee sector, with an investment budget of up to €2 billion.
‘Kicking Horse Coffee represents one of the 'local jewels' the Lavazza Group continues to seek as part of its globalization and premium positioning strategy,’ commented Antonio Baravalle, CEO of the Lavazza Group and future Kicking Horse Coffee Chairman.
‘Today, organic fair-trade coffee is one of the fastest-growing trends at the international level, and in North America in particular. Kicking Horse Coffee leads this segment with a brand that is perfectly complementary to the Lavazza portfolio,’ said Baravalle.