Los Angeles-based private equity firm Butterfly Equity has entered into a definitive agreement to acquire food packaging manufacturer Sabert Holding Corp for an undisclosed sum.
The transaction is expected to close in the fourth quarter of 2026. Albert Salama, who founded Sabert in 1983, will ‘remain a meaningful minority investor’, the companies said in a statement.
Sayreville, New Jersey-headquartered Sabert employs approximately 3,000 people. It operates manufacturing facilities in California, Illinois, Indiana, Kentucky, New Jersey, Texas, Georgia, and Virginia, as well as overseas in Belgium, England, Poland and China.
The scaled food packaging business has capabilities across plastics, paper and moulded fibre. It serves the food and beverage market, spanning foodservice distribution, supermarkets and grocery, restaurants and quick-service restaurants, and fresh protein and food processors.
Butterfly was set up in 2016 and describes itself as a leading food ecosystem investor in North America.
$12 billion spent so far
Since its inception, the firm has ploughed funds into a diverse portfolio of businesses representing $12 billion in enterprise value, including ePac Flexible Packaging, Actus Nutrition, and Chosen Foods.
“Sabert is exactly the type of business we look for at Butterfly: a category-leading player with deep roots across the food ecosystem, differentiated capabilities and tremendous opportunities for continued growth,” said Adam Waglay, Butterfly chief executive, co-founder and managing partner.
“As consumers increasingly prioritise convenience and flexibility in how and where they eat, packaging plays an essential role in enabling the food industry to meet those needs. We are thrilled to partner with Albert, Sabert chief executive Paul McCann, and the entire Sabert team to build on the incredible business they have created.”
Salama, who is also Sabert’s executive chairman, added: “For more than four decades, Sabert has been focused on developing unique solutions that help our customers respond to the changing ways consumers eat and live.
‘An ideal partner’
“Butterfly’s deep expertise and understanding of our customers and end-markets make them an ideal partner for our next chapter. We look forward to working together to continue investing in innovation and delivering exceptional products and services to our customers.”
Butterfly was advised by Kirkland & Ellis on legal matters and by KPMG on financial and tax matters.
UBS Investment Bank and Goldman Sachs acted as financial advisors to Sabert, and Simpson Thacher & Bartlett and FBT Gibbons acted as legal counsel to Sabert.
Committed financing for the transaction is being provided by UBS Investment Bank, Goldman Sachs & Co and KKR Capital Markets.
