.jpg)
6 hours ago
1
Article content
(Bloomberg) — Private equity firm TSG Consumer Partners is in advanced talks to invest in Crumbl, the fast-growing cookie and dessert chain, according to people with knowledge of the matter.
THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLY
Subscribe now to read the latest news in your city and across Canada.
- Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.
- Daily content from Financial Times, the world's leading global business publication.
- Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.
- National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.
- Daily puzzles, including the New York Times Crossword.
SUBSCRIBE TO UNLOCK MORE ARTICLES
Subscribe now to read the latest news in your city and across Canada.
- Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.
- Daily content from Financial Times, the world's leading global business publication.
- Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.
- National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.
- Daily puzzles, including the New York Times Crossword.
REGISTER / SIGN IN TO UNLOCK MORE ARTICLES
Create an account or sign in to continue with your reading experience.
- Access articles from across Canada with one account.
- Share your thoughts and join the conversation in the comments.
- Enjoy additional articles per month.
- Get email updates from your favourite authors.
THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK.
Create an account or sign in to continue with your reading experience.
- Access articles from across Canada with one account
- Share your thoughts and join the conversation in the comments
- Enjoy additional articles per month
- Get email updates from your favourite authors
Sign In or Create an Account
or
Article content
Article content
TSG is discussing an investment in the form of preferred equity in exchange for a minority stake in Crumbl, said the people, who asked not to be identified discussing private information. Terms aren’t finalized and could still change, they cautioned.
Article content
Private credit funds are also in discussions to provide about $500 million of debt financing to Crumbl, a person with knowledge of that matter said.
Article content
Article content
A representative for TSG declined to comment, while a representative for Crumbl didn’t immediately respond to requests for comment.
Article content
By signing up you consent to receive the above newsletter from Postmedia Network Inc.
Article content
Crumbl, founded in 2017 by Chief Executive Officer Jason McGowan and Chief Brand Officer Sawyer Hemsley, now has more than 1,000 stores across the US, Puerto Rico and Canada, its website shows.
Article content
The owners of Crumbl have been exploring a sale that could value the company at nearly $2 billion, including debt, a valuation based on earnings before interest, taxes, depreciation and amortization of nearly $150 million, Reuters reported in January.
Article content
The company sells more than 1 million desserts per day and sells franchise rights to its stores, according to its website. The chain has a rotating menu, and consumers frequently turn to social media platforms such as TikTok, to rate specific cookies.
Article content
Private equity and venture capital firms have made bets on other cookie companies. In July, Krispy Kreme Inc. said it sold a majority stake in Insomnia Cookies to Verlinvest and Mistral Equity Partners, while Stripes has been a backer of Levain Bakery since 2018.
Article content
(Updates with debt financing detail in third paragraph.)
Article content
English (US)