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Tapatio Enters New Era of Growth Under Highlander Partners

Highlander Partners LP, a Dallas-based private investment firm, has acquired Vernon-based Tapatio, one of the top hot sauce brands in the U.S., from the Saavedra family.

The investment will allow Tapatio to extend its reach into developing countries, broaden its distribution channels, bolster new product development and enter complementary new product categories.

Tapatio is a hot sauce brand that was founded in 1971 and has since developed a large, loyal following in the Western U.S. The Saavedra family will retain a minority position in Tapatio post-closing, with the Arnold Companies also investing a significant minority equity position in the brand alongside Highlander Partners.

Stout served as exclusive financial advisor to Tapatio during the transaction, while J.P. Morgan led the senior financing facilities, and NMP Capital provided both financing and equity in support of the transaction. Katten served as legal advisor to Highlander.

Source: Highlander Partners