PouchTec Industries, LLC (www.pouchtec.com) is a Foley, Minnesota-based provider of outsourced liquid food processing and flexible packaging solutions, specializing in the design and manufacture of stand-up, spouted and non-spouted pouches. PouchTec works on behalf of some of the world’s largest consumer packaged goods companies to develop, manufacture and supply liquid food pouches on a contract-manufacturing basis. PouchTec provides large-scale, turnkey, outsourced solutions to a growing list of blue-chip customers in the food and beverage industry. PouchTec manufactures a broad range of products in both spouted and non-spouted pouches, including baby food, fruit purees, nutritional supplements, sauces, marinades and condiments, among others.
PouchTec is a leader within the $2.0+ billion stand-up pouch market, which is the fastest-growing segment of the flexible packaging industry. Pouches have revolutionized the packaging sector and are displacing conventional rigid packaging (e.g., cans, bottles, jars, etc.) due to superior design flexibility, merchandising appeal, ease-of-use and lower cost. Stand-up pouch demand is expected to grow at 2x the rate of the overall flexible packaging market through 2023.
Prestwick Partners initiated this transaction and acted as the exclusive financial advisor to PouchTec and its shareholders. Prestwick designed an M&A process, prepared marketing materials, evaluated acquisition proposals, and negotiated the transaction with Kent Precision Foods Group, a wholly owned subsidiary of Kent Corporation. Prestwick’s process included both domestic and international strategic acquirers as well as private equity groups.