Radnor private equity firm NewSpring has acquired a majority stake in Duck Donuts, the fast-growing Central Pennsylvania-based donut franchise. Financial terms of the deal were not released.
Patrick Sugrue, the NewSpring general partner who led the deal, would only say that his firm acquired a majority stake and that Free Fenix, a Charlotte, North Carolina-based hybrid investment company, partnered with NewSpring and now owns a minority stake.
Russ DiGilio, founder and original CEO of Duck Donuts, maintains a minority stake but has passed the CEO reins to former marketing executive Betsy Hamm, who joined the company after 15 years with Hershey Entertainment & Sports and eventually became chief operating officer.
“We are always looking ahead and for ways to grow,” Hamm said. “We felt we needed to find additional capital and strategic experience.”