Nellson Nutraceutical, LLC (Nellson), a North American formulator and manufacturer of branded and private-label nutritional bar and functional powder products, announced that it has acquired Genysis Brand Solutions Inc. (Genysis). Genysis is a Salt Lake City-based manufacturer of functional powders. Genysis affiliates Dyad Labs (formerly Genysis Labs) and Sensapure Flavors have been spun out as independent entities and are not included in the transaction.
The business combination strengthens Nellson’s powder production capabilities, expands its product lines and channels, and diversifies its customer mix. “The combination with Genysis, together with the recent opening of our state-of-the-art bar-making facility in Ontario, California further strengthens Nellson’s position as a strategic partner of choice within the fast-growing nutritional bar and functional powders sectors” said Jamie Better, Chief Executive Officer of Nellson. “This acquisition replicates in powders what we achieved in bars three years ago through our acquisition of Multibar, as it combines two respected functional powder manufacturers to create the clear category leader with remarkable capabilities in new product development and best-in-class manufacturing.”
Genysis will operate as a subsidiary of Nellson. Adam Schwinghammer, President of Genysis, who will stay on as a key member of the executive management team, said, “We are excited about merging with Nellson and capitalizing on the respective strengths of the two companies in order to benefit our current and prospective customers.”
The combined company will have five manufacturing and R&D facilities, offering greater capabilities to customers both in the US and Canada, as well as internationally.
Nellson is a portfolio company of Kohlberg & Company, llc (Kohlberg), a private equity firm headquartered in New York.
Seth H. Hollander, Partner at Kohlberg, commented, "Since our acquisition of Nellson in 2013, we have been focused on identifying acquisitions as a means to grow and expand our capabilities, product offering and customer base. Genysis represents a key step toward that end." Hollander added, "Nellson and Genysis are highly complementary businesses, and we are pleased to capitalize on this unique opportunity to create a larger, more diversified company capable of better serving our combined customer bases."
Antares Holdings provided Nellson with fully committed credit facilities sufficient to close the transaction. Paul, Weiss, Rifkind, Wharton & Garrison LLP acted as legal counsel to Nellson. Houlihan Lokey acted as financial advisor to Genysis.
