Sovos Brands Acquires Rao’s Specialty Foods
Sovos Brands, the food and beverage company formed by Advent International, has acquired Rao’s Specialty Foods, makers of Rao’s Homemade line of super premium pasta sauce. The transaction will be completed in the third quarter; financial terms weren’t disclosed.
The Rao’s acquisition is the second in six months for Sovos as it tries to build itself into a company made of one-of-a-kind food and beverage brands. Earlier this year, the company acquired Michael Angelo’s Gourmet Foods, maker of frozen, authentic Italian entrees. For acquisitions, Sovos focuses on high-quality brands with the potential to grow.
The Rao’s Homemade brand dates back to 1896 when Rao’s Italian restaurant opened in New York City. The pasta sauce has been commercially available since 1992 when Rao’s Specialty Foods was formed. The premium pasta sauce contains tomato blends, paste, water, starches, fillers, colors or added sugar. Rao’s also offers a variety of dry pasta, dressings, marinades, olive oils, vinegars and tomatoes.
"Rao's Specialty Foods is a great addition to the portfolio we are creating of one-of-a-kind brands in the food and beverage sector," said Todd Lachman, president and CEO of Sovos Brands. "Its unwavering commitment to authentic, delicious-tasting products using only the highest quality ingredients aligns with our strategy of partnering with unique brands that are in demand with discerning consumers. Working alongside the company's talented management team, we see numerous opportunities to grow the Rao's Homemade brand and expand Rao's Specialty Foods into adjacent food categories."
The acquisition does not include the Rao’s restaurants in New York or Los Angeles, which will remain under current ownership.