GS Capital Partners purchases Michael Foods for $1.7bn

Goldman-owned equity firm acquires global food producer

GS Capital Partners, an equity firm owned by Goldman Sachs Merchant Banking Division, has purchased Michael Foods, a global producer and distributor of food products, from Thomas Lee Partners (THL) for approximately $1.7bn.

As part of the transaction, THL will retain its 20% ownership stake in Michael Foods, which it has acquired in 2003.

Michael Foods' principal products are specialty egg products, refrigerated potato products, cheese and other dairy-case products.

Oliver Thym, managing director of GS Capital Partners, said: "We look forward to working with Jim Dwyer, the entire management team and THL to further build the Company's strong product portfolio across all segments.

James Dwyer Jr, chief executive officer and president of Michael Foods, said: "The Michael Foods team is excited about our next stage of growth and is looking forward to a great partnership with GS Capital Partners and THL."