The Save Mart Companies announced that Kingswood Capital Management LP (“Kingswood”) had acquired the company. Kingswood is an operationally-focused private equity firm based in Los Angeles with significant experience in the retail sector. The terms of the transaction were not disclosed.
Headquartered in Modesto, California, The Save Mart Companies operates approximately 200 Save Mart, Lucky California, and FoodMaxx stores in the California Central Valley and Northern Nevada. It is the largest regional, full-service grocery chain throughout the region, with 14,000 team members.
In addition to its retail operation, the company also operates SMART Refrigerated Transport. It is a partner in Super Store Industries (“SSI”), which owns and operates a distribution center in Lathrop and the Sunnyside Farms dairy processing plant in Turlock.
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“I’m excited for this opportunity with Kingswood to invest in and grow The Save Mart Companies family of stores,” said Chris McGarry, CEO of The Save Mart Companies. “The Piccinini family did a tremendous job fostering a commitment to innovation and service as they built and grew this company in the Central Valley and throughout California. As a result, we have great stores and a committed team of 14,000 employees who provide fantastic local products and are wonderful stewards of the communities in which they live and work. While this change in ownership will be transparent to our team and customers, we know that this investment will benefit them and the communities we serve.”
Kingswood Capital Management, LP is a private investment firm primarily focused on investing in businesses in transition. In addition to access to capital, Kingswood brings relevant industry relationships and a broad network of internal and external operating resources that can strengthen the businesses it partners with and enhance value.
With the addition of The Save Mart Companies, Kingswood is expanding its existing Northern California presence. It already owns Alameda-based Cost Plus World Market, which it acquired in January 2021 from Bed Bath and Beyond, and Mare Island-based Lind Marine, a diversified marine services business headquartered north of the San Francisco Bay recapitalized in January 2022.
“At Kingswood, our goal is to make good businesses even better, and The Save Mart Companies presents us with a great opportunity to do so,” said Alex Wolf, Managing Partner and Founder of Kingswood. “Their 70 years of history in the Central Valley provides a strong foundation for future profitable growth, and we look forward to working with Chris and the team to position these iconic grocery brands for the future.”