US-based private equity firm Peak Rock Capital’s affiliate has completed the acquisition of ice cream manufacturer and distributor Turkey Hill Dairy from Kroger for $215m.

In March, Peak Rock entered a definitive agreement to acquire Turkey Hill Dairy business from Kroger.

Peak Rock Capital CEO Anthony DiSimone said: “This transaction further exemplifies Peak Rock’s deep experience and capability in executing complex carve-out transactions. It also highlights our continued interest in attractive assets in the food and beverage industry.

“We believe that Turkey Hill represents an excellent platform for growth through near-term organic initiatives and strategic acquisitions.”

“We believe that Turkey Hill represents an excellent platform for growth through near-term organic initiatives and strategic acquisitions. We will be aggressively pursuing complementary acquisitions to extend the product and brand portfolio.”

Turkey Hill is engaged in the production and distribution of ice cream products, as well as refrigerated drinks for the retail, foodservice and alternative channels.

The company has a diverse customer base, including blue-chip grocers, distributors, wholesalers and convenience stores.

The acquisition of Turkey Hill will be Peak Rock’s eighth investment in the food and beverage segment.

As part of the deal, the Peak Rock affiliate will continue to operate the Turkey Hill business out of its location in Conestoga, Pennsylvania.

After-tax cash proceeds from the sale are planned to be used by Kroger to reduce debt.

Peak Rock managing director Robert Pistilli said: “Turkey Hill represents an exciting opportunity to invest in a premier brand with an established reputation for quality, flavour variety, and authenticity, within the large and growing ice cream and refrigerated drinks space.”