Objective: To restart an existing 155 year old spirits producer and support the company’s growth into an internationally recognized brand.
Company History
SFW Starka was privatized by the Polish Government in 1991, but went into receivership in 2009. In 2012, the assets were acquired by a strategic investor, Yasmia Group, which took over the factory and equipment inventory, intangible assets and trademarks.
After extensive improvements to the plant and buildings, production resumed mid-2016 with growth plans put in place alongside the company being sold to a local group. Production was again suspended in 2018 due to a legal dispute with the purchaser, which was resolved in favour of Yasmia in Q1 2020.
Investment Opportunity
The investment proposition centers on several key assets:
- Historic site with modern production equipment
- Unique and sophisticated product
- Approximately one million litres of aged inventory
- Brand and intellectual property rights
- Expert technical management
- Strategic joint venture partner required to help leverage existing positives into a global brand
Turnaround Strategy
The five-year transformation plan emphasizes financial discipline, creditor elimination, and allowing the technical team to concentrate on premium spirit production. Saratoga Capital appointed a Chief Operating Officer to oversee asset rationalization and expansion. A new CEO with extensive beverages industry experience was recruited externally to accelerate change.