ACON Investments LLC on Tuesday, June 30, said it’s acquired a controlling stake in YumEarth, an organic confectionery brand known for allergy-friendly candy made with clean ingredients, from Riverside Co.

Washington-based ACON didn’t disclose the financial terms of the transaction, which marks the first investment from ACON Evolution Fund, which is led by managing partners Anjali Jolly and Suma Kulkarni. The transaction also includes support from Fini Co., a global confectionery company that will hold an ownership stake in YumEarth.

The Deal last April reported YumEarth had tapped TM Capital Corp. to run an auction. Sources then said YumEarth generated roughly $8 million to $9 million in Ebitda and about $75 million in revenue.

Founded in 2007, YumEarth makes organic candy and snacks using non-GMO ingredients, with no artificial dyes or high-fructose corn syrup. Its products are gluten-free and free from the top nine allergens.

The Stamford, Conn.-based company’s portfolio includes chewy and gummy candy, lollipops, fruit snacks, sour candy and other confectionery products. YumEarth sells online and through about 30,000 retail locations, including Target Corp. (TGT), Whole Foods Market Inc., Walmart Inc. (WMT), Kroger Co. (KR) and Sprouts Farmers Market Inc. stores.

Riverside invested in YumEarth in August 2015 through a microcap fund.

ACON and Fini plan to support YumEarth’s next phase of growth by combining ACON’s experience investing in consumer brands with Fini’s confectionery expertise. The partners said the company is well positioned to broaden its reach, strengthen product innovation and bring its organic, allergy-friendly candy to more families.

ACON said the investment reflects YumEarth’s position at the intersection of growing consumer demand for better-for-you snacks, allergy-friendly products and cleaner ingredients.

Headquartered in Molina de Segura, Spain, Fini distributes confectionery products to more than 100 countries across five continents and is the global corporate brand behind Fini and Dr. Good.

ACON invests in middle market consumer, industrials and business services companies in the U.S., Latin American and Southern Europe.

Its ACON Evolution Fund is its latest platform, focusing on value-oriented investment opportunities in the consumer and industrial sectors. It provides investors with access to a programmatic co-investment offering.

New York-based Riverside invests in the smaller end of the middle market across business services, consumer brands, education and training, franchising, healthcare, software and information technology and specialty manufacturing and distribution.

The firm closed its latest fund, Riverside Value Fund II, at $750 million in July, and its latest microcap fund, the sixth, closed in 2023 at $1.87 billion.

TM Capital and Jones Day were financial adviser and counsel to YumEarth.

Banco Santander SA was financial adviser to ACON while Bryan C. Goldstein, Bradley C. Vaiana and Jordan S. Traister of Winston Taylor LLP and Hogan Lovells provided transaction counsel and fund counsel, respectively. Truist Bank led financing for the acquisition.

Deloitte LLP was financial adviser to Fini, while Blank Rome LLP and Garrigues provided counsel in connection with the transaction.