SPRINGDALE, Ark. — Tyson Foods Inc. has entered into an agreement to sell its pizza crust business to the private equity firm Peak Rock Capital. Terms of the agreement were not disclosed. The transaction is expected to close during September.
The sale includes TNT Crust, a producer of partially-baked and self-rising pizza crusts for frozen pizza manufacturers and food service customers. The business has two manufacturing plants in Green Bay, Wisconsin, that employ a total of 400.
Based in Austin, Texas, Peak Rock Capital is a middle market investor. Other food businesses included in the group’s portfolio are the private label manufacturer Berner Food and Beverage, Diamond Crystal Brands, Gold Coast Bakeries and Natural American Foods.
“TNT Crust is a solid business supported by a great team; however, our strategy is focused on expanding Tyson Foods’ leadership position in protein,” said Sally Grimes, group president of Prepared Foods for Tyson Foods. “We’re pleased Peak Rock Capital plans to continue operating the business and provide continued opportunities for the workforce. We intend to work closely with them to ensure a smooth ownership transition for everyone, including our team members and customers.”
This is the second divestment Tyson Foods has made during the past two months. Earlier, the company sold its Sara Lee Frozen Bakery business to Kohlberg & Company, a private equity firm.