Established in 1921, Phillips Syrups & Sauces (“Phillips”) is a long-standing manufacturer of gourmet syrups and unique sauces for the coffee and ice cream industries. The Company provides handcrafted, small batch products through private label and Phillips’ branded product line, Coffee House Essentials.
A century ago, Phillips developed and produced its original orange syrup, eventually expanding its offerings to hundreds of gourmet syrups, sauces, and toppings. Over time, the Company broadened its focus to coffee roasters and retailers, partnering with industry leaders to develop innovative flavoring formulations unique to each customer. These custom formulations are the result of collaborative efforts between Phillips’ talented food scientists and the customer’s specific flavor requests. Phillips retains intellectual property for each formulation, creating sticky and long-term customer relationships.
Terry and Karen Mitchell acquired Phillips in 2015 from the previous owner, bringing with them combined decades of experience from the confectionary industry. In addition to stabilizing the existing customer base, this new ownership group developed and launched the Coffee House Essentials product line targeting online growth opportunities.
In 2019, Dominic Brault, Managing Director at Kaulig Capital, was introduced to Terry Mitchell through one of the firm’s trusted advisors (once again reiterating the importance of people and relationships at the Kaulig Capital). Dominic and Terry spent time together establishing the relationship and ultimately resulting in conversations around an investment transaction.
Kaulig Capital acquired a controlling interest Phillips in August 2020, with the Mitchell’s retaining a sizeable stake in the Company. Dominic Brault said in a press release, “We are going to bolster the Phillips Coffee House Essentials line, which is a brand geared toward independent coffee store. We’re also looking to bolster the e-commerce side of the business, which will lead to some growth in people, which we are excited about.”
Phillips, in conjunction with Kaulig Capital, continues to look for new partners and opportunities in the coffee and related products/services industries.