Regal Confections acquires Mondoux Confectionery
In its third acquisition in as many years, Regal Confections today announced the acquisition of Mondoux Confectionery in a sweet deal that brings together two high-profile Quebec companies.
For now, Regal’s management team, as well as the management team at Mondoux remain in place and the companies will operate independently.
Quebec-based Regal is a seasonal specialist and Canadian distributor of global candy, freeze pops, chocolate confectionery and premium indulgent foods. With the Mondoux deal, Regal now owns the Sweet Sixteen gummy line, as well as Mondoux’s Giacomo Easter chocolate range and Confiserie Yoma.
"Confectionery Mondoux and the Mondoux family have a long and well-earned reputation in the industry. This family-owned business has a rich culture and legacy. Over the years, we’ve been a friendly competitor and supplier to Mondoux," says Hani Basile, president and CEO of Regal. "They’ve carved an enviable market niche in convenience and gas, especially in Quebec. In fact, many of our own products distributed in the Quebec C&G channel are sold through Mondoux’s franchise delivery model. Sweet Sixteen is a true complement to our product range and allows us to deepen our presence in the Everyday confectionary category across Canada. I am pleased to partner with the Mondoux family and welcome Jean Mondoux to Regal’s Board. Mondoux’s president, Mathieu Pilon, will continue in his role and will lead Mondoux as a separate entity."
Founded in 1967 by Normand Mondoux, the business built deep roots in the Province of Quebec, as well as the convenience and gas channel.
Jean and Yvan Mondoux joined in 1975 and 1982 respectively, while the third generation, comprised of Marie-Josée, Jean- Philippe, and Sébastien Mondoux, joined the management team in 2020.
"We are incredibly proud of the impact our Company has had for over six decades, creating fun and life-long memories for consumers. We are excited to partner with Regal to uphold our family values and foster growth for our customers and brand partners, relying on Regal's 65 years of experience representing prestigious brands via its coast-to-coast coverage model across all sales channels." says chairman Jean Mondoux.
Today, Mondoux is led by a professional management team and operates out of a 90,000 sq. ft. facility in Laval, Quebec, which is home to is head office and co-packing operation. The 22,000-sq.-ft. Giacomo chocolate factor is located nearby.
As Basile mentioned, Mondoux products are a staple in the C&G channel, with 77 trucks delivering its sweet treats to stores across the province, as well as the Maritimes and in Ontario.
In 2010, Jean Mondoux created the company’s signatured Sweet Sixteen brand by mixing 16 distinct premium candies in a bag. Today, the company says Sweet Sixteen is the best-selling gummy, licorice, and marshmallow brand in Quebec.
According to a release, “Mondoux continues to strengthen its market presence by expanding the Sweet Sixteen product range and reach, enlarging its direct to store delivery system and by offering well-established brands in its sales channels under various distribution agreements.”
The transaction was supported by Clearspring Capital Partners, a Canadian private equity firm focused on growing mid-market companies, Regal’s shareholders and banking partners, as well as the Mondoux family and management team who will become partners in Regal.
"Regal has been on an aggressive campaign to reinforce its leadership position in Canada. This is the third acquisition by Regal in the past three years, bolstering our owned brand portfolio which includes Mr. Freeze and Koala, and elevating our service levels and reach through Mondoux’s unique direct store delivery infrastructure.” says Milap Choksey, COO of Regal and Partner at Clearspring.
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“This transaction is aligned with Clearspring's strategy of helping market leaders become even more successful. Mondoux’s penetration within the C&G channel is impressive and we look forward to supporting Mondoux expand their product offering nationally, leveraging Regal’s expertise in scaling brands. We are grateful to the Mondoux team for their partnership and the trust they have placed in Regal and Clearspring." says Will Wang, vice-president at Clearspring.
