LAVAL, QC, July 16,
2024 /CNW/ - Regal Confections ("Regal"), a seasonal
specialist and leading Canadian distributor of global candy, freeze
pops, chocolate confectionery and premium indulgent foods, today
announced the acquisition of Mondoux Confectionary ("Mondoux" or
the "Company"), a market leading Quebec based confectionery provider with its
Sweet Sixteen gummy line and its Giacomo
Easter chocolate range.
Mondoux was founded in 1967 by Normand
Mondoux. Jean and Yvan Mondoux joined the Company as
the second generation in 1975 and 1982 respectively, and the third
generation, comprised of Marie-Josée, Jean-Philippe, and Sébastien
Mondoux, joined the management team in 2020. Today, Mondoux is led
by a professional management team and operates out of a 90,000
square foot facility in Laval, Quebec, which houses the company's head-office
and co-packing operation. The 22,000 square foot Giacomo chocolate
factory, also in Laval, is a
stone's throw away from the Company's headquarters.
Over the years, Mondoux has grown to become a leader in the
Quebec Convenience & Gas ("C&G") channel with 77 trucks
delivering its assortment in the province, the Maritimes and in
Ontario. In 2010, Jean Mondoux created the iconic Sweet Sixteen
brand by mixing 16 distinct premium candies in a bag. Today, Sweet
Sixteen is the best-selling gummy, licorice, and marshmallow brand
in Quebec. Mondoux continues to
strengthen its market presence by expanding the Sweet Sixteen
product range and reach, enlarging its direct to store delivery
system and by offering well-established brands in its sales
channels under various distribution agreements.
"We are incredibly proud of the impact our Company has had for
six decades, creating fun and life-long memories for consumers. We
are excited to partner with Regal to uphold our family values and
foster growth for our customers and brand partners, relying on
Regal's ~65 years of experience representing prestigious brands via
its coast-to-coast coverage model across all sales channels."
says Jean Mondoux, Chairman of Mondoux.
"Confectionery Mondoux and the Mondoux family have a long and
well-earned reputation in the industry. This family-owned business
has a rich culture and legacy. Over the years, we've been a
friendly competitor and supplier to Mondoux. They've carved an
enviable market niche in Convenience & Gas, especially in
Quebec. In fact, many of our own
products distributed in the Quebec C&G channel are sold through
Mondoux's franchise delivery model. Sweet Sixteen is a true
complement to our product range and allows us to deepen our
presence in the Everyday confectionary category across
Canada. I am pleased to partner
with the Mondoux family and welcome Jean Mondoux to Regal's Board. Mondoux's
President, Mathieu Pilon, will
continue in his role and will lead Mondoux as a separate entity."
says Hani Basile, President and CEO of Regal.
The transaction was supported by Clearspring Capital Partners
("Clearspring"), a leading Canadian private equity firm focused on
growing mid-market companies, Regal's shareholders and banking
partners, as well as the Mondoux family and management team who
will become partners in Regal.
"Regal has been on an aggressive campaign to reinforce its
leadership position in Canada.
This is the third acquisition by Regal in the past three years,
bolstering our owned brand portfolio which includes Mr.
Freeze® and Koala®, and elevating our service
levels and reach through Mondoux's unique direct store delivery
infrastructure." says Milap Choksey,
COO of Regal and Partner at Clearspring.
"This transaction is aligned with Clearspring's strategy of
helping market leaders become even more successful. Mondoux's
penetration within the C&G channel is impressive and we look
forward to supporting Mondoux expand their product offering
nationally, leveraging Regal's expertise in scaling brands. We are
grateful to the Mondoux team for their partnership and the
trust they have placed in Regal and Clearspring." says Will
Wang, Vice President at Clearspring.
About Regal Confections
Regal Confections, known
industry-wide as "Your Candy Experts", was founded in Montreal in 1962. It is a leading independent
distributor of global candy and chocolate confectionery brands in
the nation. Regal manufactures nut-free chocolate products through
its Chocolat Jean-Talon division and freeze pops (e.g. Mr. Freeze)
through its Kisko Products division. Regal also distributes fine
imported and domestic gourmet foods through its Euro-Excellence
division. Regal operates with over 500,000 sq. ft. of space across
its sales offices, distribution centers, co-packing facilities and
manufacturing centers. During peak periods, the company employs
more than 400 people across 7 locations. Regal sells through all
major distribution channels in Canada including club, grocery, drugstores,
mass merchants, convenience stores, dollar stores, and specialty
independent stores.
For more information, visit www.regalcandy.com
About Mondoux Confectionary
For three generations, the
Mondoux family have lived by their belief in the joy of sharing
every bite. It all started with a big dream and a little storage
space in the garage of the Company's iconic founder, "Papi" Mondoux. Nurtured by passion and
determination, the dream grew into one of the largest
independent confectionary distributors in the country, with
leading brands including Sweet Sixteen, Giacomo and Yoma (Belgian
chocolate). Mondoux's brand ambassadors (i.e. franchised
distributors) allow the Company to offer turnkey services and reach
highly underserved regions in Eastern
Canada. Today, Mondoux serves a broad customer base
with over 200 employees and facilities totaling more than 115,000
sq. ft.
For more information, visit www.mondoux.ca/en
About Clearspring Capital Partners
Clearspring
Capital Partners is a leading Canadian private equity firm that
invests in and acquires medium-sized companies through buyouts,
growth and acquisition financings, going private transactions,
industry consolidations, recapitalizations and other types of
transactions. Clearspring has raised nearly 600 million dollars in capital since it was
founded in 2002. Clearspring focuses on established and stable
industries and companies with strong market positions and skilled
management teams. The Clearspring team works out of its
offices in Toronto and
Montreal in close collaboration
with the management teams of its portfolio companies in order to
ensure the creation of added value.
For more information, visit www.cscap.ca
SOURCE Regal Confections