Cakesmiths, an independent manufacturer of artisan handmade cakes, increased revenue by 164% and EBITDA by 260% during its two-year partnership with LDC. The bakery firm also invested heavily in recruitment, going from 110 members of staff to more than 200 employees.
With its partnership with LDC set to end, Cakesmiths will become part of the recently rebranded Onore Food Group. Headquartered in France, Onore was previously known as Boncolac and is backed by private equity investor Waterland.
Cakesmiths excited about new chapter
Chris Ormrod, chief executive of Cakesmiths, will continue to head up the business alongside the rest of the management team, while the firm will retain its branding.
“It’s hugely satisfying to look back on everything we’ve achieved in the last two years, and we’re delighted to become part of the Onore Food Group – a move that will help our long-term growth ambitions,” said Ormrod.
“Demand for our amazing cakes shows no sign of slowing and we’re now perfectly positioned to share them with more people around the world as part of Onore.”
Meanwhile, Onore chairman Alexandre Vigneron commented: “We aim to be the preferred manufacturer for food specialties in pastry and snacking throughout the world. To affirm this ambition, I am delighted to welcome Cakesmiths to the group and to announce that new leaders in pastries or snacking products will soon join us, for the pleasure of our customers and lovers of our products.”
LDC wishes Cakesmiths luck
LDC is part of the Lloyds Banking Group and has invested nearly £600m into more than 30 businesses across travel and leisure, food and drink and consumer goods since 2012.
Commenting on the end of its relationship with Cakesmiths, investment director at LDC Stefan Gunn said: “Cakesmiths’ rapid growth is all down to the team’s passion for their cakes and commitment to innovation and service excellence. Together, we quickly identified the online platform as an essential channel to drive growth, and it’s wonderful to see it become an even more important part of the business’ offering, with almost 70% of Cakesmiths’ volumes being ordered online and delivered next day.
"It’s also been great to partner with the irrepressible Chris Ormrod again and also support a team based just down the road from our Bristol office. They are now ready to fly the flag for the city internationally, and we wish them every success.”