Simpson Thacher & Bartlett and Skadden Arps Slate Meagher & Flom have won top roles on the $1.35bn (£940m) sale of Krispy Kreme Doughnuts to JAB Beech.
Doughnut maker Krispy Kreme turned to Simpson Thacher’s New York co-head of M&A Mario Ponce in a client win for the US firm.
Meanwhile the buyer JAB Beech sought legal counsel from Skadden M&A partners Sean Doyle and Paul Schnell in New York. They were assisted by finance partner Steven Messina and IP partner Bruce Goldner.
JAB Beech is a controlled subsidiary of JAB Holding, a group specialising in long-term investments in the coffee, luxury and healthcare sectors.
Its purchase of Krispy Kreme will take the doughnut retailer private, with the company currently listed on the New York Stock Exchange.
It will continue to operate from its headquarters in North Carolina and the deal is set to close in the third quarter of 2016.
Background to the deal
At the end of last year, JAB Beech’s parent company JAB Holding turned to Weil Gotshal & Manges for advice on its $13.9bn acquisition of coffee-maker manufacturer Keurig Green Mountain. Skadden nevertheless picked up a mandate for JAB Holding back in 2014, representing the company on the combination of coffee businesses DE Master Blenders and Mondelēz International.
The Krispy Kreme transaction marks yet another key acquisition for the investment company, which also owns Coty, Jimmy Choo and Bally.
Krispy Kreme itself has changed hands several times over the past few years, with the UK business being bought for £25m by private equity house Alcuin Capital Partners in 2011. Macfarlanes represented Krispy Kreme’s UK managing directors Richard Cheshire and Rob Hunt, while Shoosmiths worked with Krispy Kreme’s management.
