Nellson Nutraceutical bought by investment firm

US investment company Fremont Partners has bought Nellson Nutraceutical, the California-based maker of functional bars and powders, from Artal Luxembourg. The company did not specify the sum paid for the acquisition.

The Nellson products target the diet/weight loss market, as well as sports nutrition, bodybuilding, and medical areas.

"Nellson's market position and organic growth opportunities make this a very attractive investment for Fremont Partners. We believe the company is well-positioned to participate in the future successes of this rapidly growing industry,"​ said Bill Lenihan, Fremont Partners principal.

"In addition, we are extremely excited to be aligning with such a talented and experienced group of individuals. Collectively, Nellson's senior management team has over 80 years of relevant food industry experience and offers a strong partnership opportunity,"​ continued Lenihan.

Fremont Partners said that as for its other investments, the current management team will participate in the on-going ownership and management of the company.

"We were attracted to Fremont Partners because of their strong operating orientation, significant experience within the food industry and proven ability to build value in their portfolio companies. We are very pleased to have Fremont Partners on board,"​ said Ben Muhlenkamp, CEO of Nellson Nutraceutical.

The Nellson acquisition marks the third investment made through Fremont Partners III​, a $920 million private equity fund. The company manages more than $1.8 billion of equity capital and invests across a diverse range of industries, including food and consumer products, healthcare and medical devices, building products, business services, speciality packaging, speciality finance, and industrial manufacturing. The firm seeks to deploy a minimum of $75 million in each transaction.

The Invus Group served as the advisor to Artal Luxembourg.