Mama Lycha Foods Has Been Recapitalized by Rotunda Capital Partners
16.09.2024
HOUSTON, TEXAS (September 16, 2024) – Statesman Corporate Finance, LLC (“Statesman”) is pleased to announce a recapitalization investment in Mama Lycha Foods (“Mama Lycha” or “the Company”) by Rotunda Capital Partners (“Rotunda”). This strategic partnership aims to support the continued growth and expansion of the Company. Statesman served as the exclusive financial advisor to Mama Lycha on this transaction, which closed on September 9, 2024.
Mama Lycha was founded in 1993 by Maria Alicia (“Mama Lycha”) and Luis F. Padilla with the goal of bringing authentic Latin American cuisine to U.S. grocery store shelves. The Company has since grown to one of the most prominent manufacturers, processors, and distributors of Central American consumer food products in the US. Through its two distribution centers in Texas, manufacturing plants in El Salvador and Nicaragua, and network of over 150 regional distribution partners, Mama Lycha offers over 600 SKU’s of its own proprietary brands and premier import products that are now available in over 750 grocery stores across 37 US States and 4 Canadian Provinces.
The Padilla family, including the second generation and current General Director Maria Alicia Padilla-Gonzalez, will continue to work in the business and help lead the next phase of growth. Additionally, Mr. Luis Marconi, a longtime executive partner of Rotunda, will become Executive Chairman of the Board. Mr. Marconi possess extensive experience in the creation, development, and distribution of Hispanic food brands having previously served as Head of Grocery Products for Hormel Foods and President of Megamex Foods, a joint venture of Hormel Foods and Herdez Del Fuerte.
Dan Lipson, Managing Partner at Rotunda, said, “Mama Lycha represents a unique opportunity to invest in an exceptional business and team that has differentiated itself as a leading authority on Latin American cuisine. We are looking forward to partnering with the Padilla family and accelerating the execution of further strategic growth investments.”
Mrs. Maria Alicia Padilla-Gonzalez stated “Statesman was critical to the success of this transaction and their role cannot be underestimated, and I believe that to be true to both sides. They listened to our objectives, understood our business, and quickly became trusted advisors to our family. There were significant complexities in the transaction involving facilities and separate operating entities across three Countries and Statesman’s experience in cross-border transactions and their bilingual capabilities were invaluable. The Statesman Team was highly professional and very patient working with us to be prepared for and understand both the subtilties and complexities encountered throughout this process.”
Mr. Luis and Mrs. Maria A. Padilla commented “Rotunda perfectly fits the characteristics we initially conveyed to Statesman regarding a strategic partner to advance the nationwide expansion of Mama Lycha. We are excited to begin working with Rotunda and the tremendous opportunity this creates for all our employees.”
About the other transaction participants
More about the Mama Lycha Foods can be found here: Mama Lycha Foods
Statesman Corporate Finance, LLC (Houston & Austin, TX) is the FINRA-licensed broker dealer affiliate of Statesman Business Advisors, LLC. Statesman is a leading middle-market investment banking firm providing merger and acquisition, capital formation, valuation, and other general corporate financial advisory services. The team advising on this engagement included Managing Member Walter Tomlinson, Director David Carrasco, and Vice Presidents Nathan Hurst and Sarah Dibbern.
Rotunda Capital Partners (Bethesda, MD, and Evanston, IL) Rotunda Capital Partners is an operationally oriented private equity firm focused on transforming family-founder owned companies into dynamic, data-driven platforms able to achieve and manage significant growth. The Rotunda team on this transaction included Managing Partners Dan Lipson and Corey Whisner, Principal Rohit Dhake, Vice President Brian Kim and Senior Associate Keith Cotter.
Haynes & Boone (Houston, TX) provided legal counsel to Mama Lycha led by Partner George Gonzalez and included Partner Odean L. Volker, and Associates Hayley Hervieux, Kahlil Bryant, and Dillon Sebasco.
Lexincorp provided Central American legal counsel to Mama Lycha led by Partners Claudia Vivas (Nicaragua) and Adriana Portillo (El Salvador).
Crowe, LLP (Houston, TX) provided accounting and tax counsel to Mama Lycha, led by Houston Tax Partner, Jason Sharp and included National Tax Services Partner John Walker, Transaction Service Partner Dennis Kalten.
Greenberg Traurig (Chicago, IL) provided legal counsel to Rotunda, led by Shareholder Brian R. Singer and included Shareholders Todd E. Bowen, Jeffrey K. Ekeberg, and Nathan P. Emeritz, and Associates Thomas J. (TJ) McNulty and Quinn C. Lewis.
Consortium Legal provided Central American legal counsel to Rotunda led by Fidel Márquez and Francisco Mendoza (El Salvador) and Rodrigo Taboada (Nicaragua).
