Carolina Foods was founded in 1934 and has grown into one of the leading wholesale bakeries in the US, operating out of multiple locations across Charlotte, including a 100,000 sq. ft. manufacturing facility in Charlotte’s South End.
The company produces doughnuts, honey buns, pies, fritters, and a host of other sweet treats under the Duchess brand, as well as private label for some of the world’s leading snack brands. The products are sold in single-serve and multipacks distributed in club stores, mass merchandisers and convenience stores in all 50 states as well as Puerto Rico, Mexico and Canada.
To the next level
Carolina is the Falfurrias’ third investment in the packaged food category in the past two years, following the 2019 acquisition of condiment, sauce and spice producer Sauer Brands and the subsequent bolt-on of branded popcorn seasoning company Chicago Custom Foods.
The company has raised approximately $1bn across four funds, employing a proprietary, research-based process called ‘Industry First’ to identify markets with durable growth trends, construct a thesis based on research findings, and partner with management teams to create strategic value.
Terms of the deal were not disclosed, and no immediate changes were announced. Carolina’s 400-strong workforce is expected to be retained following the transaction, along with third generation owners Paul Scarborough (CEO), Katie Scarborough Caldwell and Ruffin Scarborough.
“This partnership will give us the financial resources and management expertise to take Carolina Foods to another level,” said Paul Scarborough.