Snack Food Manufacturer
Certified Organic , Gluten-Free, and Kosher facilities in Southwest VA
Our firm has been retained to find a buyer, partner, or investor for Prime Choice Foods (“PCF”or“the Company”), a family owned and operated snack food manufacturer offering a complete line of organic, natural, and baked items, mainly from corn-based foods. PCF is a market leader in developing, producing, and packing product for many private labels for several national grocery and specialty retail chains. The family has over 80 years of manufacturing experience ranging from authentic Mexican foods to artisan niche offerings, including non-GMO certified protein chia seed, and bean based chips. Revenues reached $22,000,000 in 2008 and with steady growth in the already $4 billion tortilla chip market, ownership is confident those numbers can not only be replicated, but increased in the future.
PCF was started in 2000 to fulfill the expansion needs of the growing family business and to increase exposure on the East Coast and capitalize on the high growth opportunities related to organic and Hispanic food products.Tortilla chip sales in dollars increased at a faster pace in supermarket sales than potato chips last year (3.7 percent vs.2.2 percent over a 52-week period), according to Info Scan Reviews, a retail tracking service and are projected to reach$ 7 billion by 2015.
Today, PCF operates two locations in Bristol,VA (150 miles NW of Charlotte, NC) totaling 108,000 sq.ft. The first was a shuttered potato chip facility purchased in 2000,which after two years of refurbishing and equipping the plant with modern systems and state-of-the art equipment,was commissioned in 2002.This is the main production facility and houses a tortilla chip line capable of producing 1,300 lbs. per hour.
Later ,in 2008 , PCF purchased the Nashville,TN-based Tennessee Chip Co., and with that, a baked chip line, enabling the Company to produce baked tortilla, pita, bagel,and other chips at a rate of 700 lbs. per hour.The line was relocated to the second facility in Bristol, a 72,000-sq-ft warehouse that is also used as the storage and distribution center for the Company.This building has 26’ ceiling heights and 6 dock high loading doors. Both plants have undergone numerous certifications ,including Organic, Kosher, Gluten Free, HACCP, and SQF Level 2 and earned superior ratings. The Company also has the unique ability to cook corn and process masa flour out of both facilities.
PCF provides customized solutions for their private label customers, including excellent R&D capabilities to create unique products. This is especially true based on current consumer trends towards healthier options as PCF incorporates components into the dough such as color, flavor or functional ingredients versus just topical applications. The Company can have up to 30 R&D projects in progress a t any given time including baked and extruded items. In addition, PCF’s customers know they are getting quality product with superior ingredients and accurate labels, produced under the strictest food safety policies.
In need of working capital to support growth, PCF sought Chapter 11 bankruptcy protection on February 25, 2014 while it searches for a partner or investor to provide additional capital, or an outright sale of the business.This is an excellent opportunity to acquire a quality customer base and efficient capacity, unparalleled expertise and certifications, and market share (with a substantial active bid pipeline), in a growing and high upside industry.
U.S. Bankruptcy Court ,Central District of California