By Abigail Summerville
NEW YORK (Reuters) – The household behind Tropical Cheese Industries is exploring a sale of the Hispanic dairy merchandise maker that might worth it at over $500 million, in keeping with individuals accustomed to the matter.
Tropical Cheese, primarily based in Perth Amboy, New Jersey, is working with funding financial institution Rothschild and Co to solicit acquisition affords, the sources mentioned, requesting anonymity because the matter is confidential.
Tropical Cheese and Rothschild declined to remark.
The dairy merchandise distributor expects to generate practically $50 million of earnings earlier than curiosity, taxes, depreciation and amortization in 2024, the sources mentioned.
Tropical Cheese was launched in 1982 by Hispanic businessman Rafael Mendez who moved from Cuba to the U.S. when he was 17 years outdated and ultimately settled in Perth Amboy the place he labored as a milk supply man.
Whereas Mendez began out by catering to Latino and Hispanic households and communities in New Jersey, Tropical Cheese has since expanded into most U.S. states, in addition to areas together with the Caribbean, Central and South America, and Europe.
The corporate additionally sells meats, tortillas, and drinks and its merchandise are bought by way of comfort shops and meals retailers within the areas the place it operates.
One other Hispanic-owned meals firm Badia Spices is at the moment exploring a sale, Reuters reported in June.
