Maryland firms bought by business development company
Maryland firms bought by business development company
Two sister produce companies, Coastal Sunbelt Produce Co. and East Coast Fresh Cuts Inc., which share a large facility in Savage, MD, have been acquired by MCG Capital Corp., a publicly traded business-development company based in Arlington, VA.
MCG's management team is also a buyer in this deal, which was completed Jan. 8. MCG Capital indicated that it has $1.3 billion in total assets.
Coastal Sunbelt and East Coast Fresh Cuts are leading mid-Atlantic regional distributors of fresh produce and perishables, serving chain and independent retailers, as well as hotels, institutions and foodservice establishments.
In a press release announcing the deal, Douglas Gilbert, MCG's managing director, said, "Coastal Sunbelt Produce and ECFC are leaders in their industries that have grown significantly by investing in people, process and equipment and by focusing on exceeding the expectations of their customers. The companies fit well with our investment strategy of backing strong management teams in market-leading companies."
Paul Lebling, who co-founded East Coast Fresh Cuts with Phil Muth, said, "The sale of our controlling interest in Coastal Sunbelt Produce and ECFC represents the next logical step in the evolution of our companies and the final transition of our companies to their management teams."
Mr. Muth added, "Our employees have been the force behind our success and have helped us build companies that are industry leaders and outstanding corporate citizens in their communities. We feel confident that the companies' management teams, backed by MCG Capital, will drive the companies forward and help take the companies to the next level. We are excited about this transaction and our continued economic interest in the companies."
Mr. Lebling and Mr. Muth will retain a significant ownership interest in both Coastal Sunbelt and East Coast Fresh Cuts, and will remain with the companies through a transition period and assist in an advisory capacity. Teams of senior managers, who, with this transaction, have become investors in the companies, lead the two produce companies.
The team includes Mike Davis, vice president of sales; Rosa Foca, vice president of finance and chief financial officer; and Jason Lambros, vice president of purchasing. Additional team members are Tracy Moore, vice president of operations, and David Zeleznik, vice president and general manager of East Coast Fresh Cuts.
With the acquisition, John Corso becomes president and chief executive officer of Coastal Sunbelt Produce and East Coast Fresh Cuts and an investor in the companies.
Mr. Corso's background in operations, marketing, strategic and general management experience includes chief executive officer and operating roles in manufacturing and distribution as well as hospitality industry experience.
MCG's management team is also a buyer in this deal, which was completed Jan. 8. MCG Capital indicated that it has $1.3 billion in total assets.
Coastal Sunbelt and East Coast Fresh Cuts are leading mid-Atlantic regional distributors of fresh produce and perishables, serving chain and independent retailers, as well as hotels, institutions and foodservice establishments.
In a press release announcing the deal, Douglas Gilbert, MCG's managing director, said, "Coastal Sunbelt Produce and ECFC are leaders in their industries that have grown significantly by investing in people, process and equipment and by focusing on exceeding the expectations of their customers. The companies fit well with our investment strategy of backing strong management teams in market-leading companies."
Paul Lebling, who co-founded East Coast Fresh Cuts with Phil Muth, said, "The sale of our controlling interest in Coastal Sunbelt Produce and ECFC represents the next logical step in the evolution of our companies and the final transition of our companies to their management teams."
Mr. Muth added, "Our employees have been the force behind our success and have helped us build companies that are industry leaders and outstanding corporate citizens in their communities. We feel confident that the companies' management teams, backed by MCG Capital, will drive the companies forward and help take the companies to the next level. We are excited about this transaction and our continued economic interest in the companies."
Mr. Lebling and Mr. Muth will retain a significant ownership interest in both Coastal Sunbelt and East Coast Fresh Cuts, and will remain with the companies through a transition period and assist in an advisory capacity. Teams of senior managers, who, with this transaction, have become investors in the companies, lead the two produce companies.
The team includes Mike Davis, vice president of sales; Rosa Foca, vice president of finance and chief financial officer; and Jason Lambros, vice president of purchasing. Additional team members are Tracy Moore, vice president of operations, and David Zeleznik, vice president and general manager of East Coast Fresh Cuts.
With the acquisition, John Corso becomes president and chief executive officer of Coastal Sunbelt Produce and East Coast Fresh Cuts and an investor in the companies.
Mr. Corso's background in operations, marketing, strategic and general management experience includes chief executive officer and operating roles in manufacturing and distribution as well as hospitality industry experience.
