North Castle Partners Recapitalizes Flatout Flatbread Company

Partnering with Entrepreneurs to Build Healthy Nutrition Brand

Private equity firm North Castle Partners announced today that it has recapitalized premium flatbread maker Flatout, Inc., in partnership with co-founders Stacey and Mike Marsh. Glencoe Capital’s Michigan Opportunities Fund participated on the recapitalization, the terms of which were not disclosed.

Founded over 10 years ago by entrepreneurs Stacey and Mike Marsh in Saline, MI, Flatout manufactures and markets healthy, premium flatbreads, wraps, and snack crisps sold under its own Flatout brand to the grocery, mass, club store and food-service channels. The superior taste and nutrition profile of Flatout, along with the success of its marketing partnerships, has resulted in a strong and loyal following among diet and health-oriented consumers. The company has also garnered numerous awards from health magazine editors and bloggers.

“Providing consumers with healthy nutrition options is paramount to North Castle’s mission to build industry leading companies in the Healthy Living & Aging market,” said Chip Baird, North Castle’s Managing Partner. “We are proud to welcome Stacey and Mike Marsh and the entire Flatout team into the North Castle family. We look forward to sharing our knowledge, network and experience in this space with such exceptional entrepreneurs.”

“We are excited to be partnering with North Castle given their successful track record of growing strong, niche brands like ours into nationally recognized brands like Naked Juice,” said Stacey Marsh, CEO. “We were impressed by their knowledge of the industry, their values and commitment to partnership with us, and the expertise of their team in the areas of strategy, marketing, operations and IT,” added Mike Marsh, SVP of Operations.

North Castle Managing Director Lou Marinaccio added, “By leveraging our prior experience in the food and beverage industry from our successes with EAS and Naked Juice and current investment in Nutrition Solutions, a platform including Atkins and Bora Bora, we will expand Flatout’s consumer base, product portfolio and distribution while building a national, household brand.”

North Castle, a private equity firm focused on consumer businesses that promote health and wellness, is well known in the nutrition industry through its current investments in weight management leader Atkins Nutritionals and Bora Bora Organic Foods, a brand of natural functional foods based on authentic Polynesian superfruits, as well as prior successful investments in EAS, Naked Juice, and Enzymatic Therapy.

Glencoe Capital is an experienced investor in branded food companies, including in the specialty breads sector. Glencoe currently owns Toronto-based Ace Bakery, which develops and markets a range of premium artisan breads under its own brand; previous portfolio companies include Specialty Foods Group, a leading producer of premium meat products. Glencoe Capital’s investment in Flatout is the fourth by its Michigan Opportunities Fund.

Lincoln International advised Flatout, Inc. on the transaction. Morrison Cohen provided legal counsel to North Castle.