Oconomowoc-based Lake Country Foods Inc. has sold some of its blending and packaging assets to Columbus, Indiana-based Tipton Mills Foods LLC. The transaction closed March 14 for an undisclosed price.
Lake Country in January notified the Wisconsin Department of Workforce Development it planned to cease operations and eliminate 91 jobs. The contract manager provided blending, agglomeration and specialty packaging of powders for the food industry, including malted milk powder.
Operations were expected to conclude on March 15 at the plant, which some employees staying through March 30 for plant maintenance.
Tipton Mills, a portfolio company of Compass Group Equity Partners, also manufactures custom agglomerations and blends of food and beverage powders like coffees, cocoas, nutritional supplements, fibers and protein syrups.
It purchased the packaging equipment and some ingredients from Lake Country after the company decided to close, said David Harding, chief executive officer of Tipton Mills.
“We helped them out because they were stuck with a lot of stuff” when they decided to close, Harding said.
Tipton Mills also helped fulfill some customer orders impacted by the closure, he said.
Milwaukee investment bank TKO Miller assisted Lake Country in the sale.
“Lake Country Food’s customers and products fit very well with Tipton’s business strategy. This acquisition allows us to expand our production capabilities and expedite the growth in some of our key markets,” Harding said.
