Butterfly Equity acquired Sabert Holding Corp. last Tuesday, adding one more brand to its expansive food and beverage portfolio.
Butterfly’s holdings span across Southern California, including Health-Ade kombucha, Chosen Foods and Custom Flavors. Headquartered in New Jersey and operating 13 global manufacturing sites, Sabert is the second packaging company purchased by the Beverly Hills-based private equity firm this year, following ePAC Holdings. It specializes in plastic, paper and molded fiber packaging.
“Sabert is exactly the type of business we look for at Butterfly: a category-leading player with deep roots across the food ecosystem, differentiated capabilities and tremendous opportunities for continued growth,” said Adam Waglay, chief executive at Butterfly, in a statement. “As consumers increasingly prioritize convenience and flexibility in how and where they eat, packaging plays an essential role in enabling the food industry to meet those needs.”
The acquisition further marked Butterfly’s push to secure each part of the food and beverage value chain. Since its launch in 2016, it has managed or invested in a portfolio with an estimated enterprise value of $12 billion.
Private equity in food
Beyond Butterfly, private equity firms have been deepening their reach into the food service industry. The sector was valued at $1.41 trillion in 2025, according to data from the U.S. Department of Agriculture.
Recent players include Blackstone Inc., which acquired a majority stake in Jersey Mike’s for $8 billion last year and Tropical Smoothie Cafe in 2024. Dave’s Hot Chicken, originally founded in East Hollywood in 2017, also got a massive buyout from Roark Capital Management last year for about $1 billion.
Whether the private equity-backed restaurant empires would prosper still hinges on speculation. Despite Jersey Mike’s highly successful initial public offering and its rank as a top-rated quick-service business on the American Customer Satisfaction Index, consumers still frown about many other brands under private equity, according to The Guardian.
While some still line up at popular spots, some “stay far away from the queue,” The Guardian reported, avoiding private equity-backed restaurants that they believe “are destined to cut costs, sling slop and adhere to an aesthetic devoid of personality.” Among these customers, Gen Z is leading the call.
