Altamont Capital Partners (Altamont) announced an investment into Mini Melts USA, LLC (Mini Melts), a leading brand in premium, beaded, single- and bulk-serve frozen novelty products based in the Philadelphia area. Altamont is partnering with the CEO and Founder of Mini Melts USA, Dan Kilcoyne, to provide growth capital to support the ongoing expansion of the company's distribution footprint and manufacturing capabilities.
From its humble beginnings two decades ago with a single vending machine, Mini Melts now serves over 30 million cups per year of its premium frozen novelty products. The company distributes nationally to over 15,000 locations, including convenience and drug stores, family entertainment centers, zoos, amusement parks, malls, sports venues, and more.
"Mini Melts has established itself as a leader in frozen novelties. The brand's products are some of the highest selling single-serve products in on-the-go locations today. We believe the beaded ice cream category has expandable growth potential," said Altamont Principal Kabir Mundkur. "Mini Melts brings moments of joy to life with a product that's quite simply delicious. We are excited to invest in the brand and bring Mini Melts into more consumers' hands while fostering new and exciting innovation in the future."
Mini Melts manufactures in Connecticut using a proprietary cryogenic freezing process and distributes across its network of over 20 distribution centers. The company expects to open numerous new distribution centers in 2024 and continue to expand its fully integrated, white glove distribution model. Mini Melts delivers its frozen novelty products by hand, ensuring customers receive the highest quality product.
"Our partnership with Altamont will bolster our growth plans, allowing us to spread into new markets and grow with new customers," said Mini Melts USA CEO and Founder Dan Kilcoyne. "We have experienced exponential growth over the past several years and are focused on reaching across the entire country and innovating for our valued customers. We are excited to leverage Altamont's experience scaling family-owned businesses and in multi-unit operations, food manufacturing, and distribution to support our next phase of growth."
Capital Southwest Corporation and Main Street Capital Corporation provided financing for the transaction and Ropes & Gray LLP and Morrison & Foerster LLP served as legal advisors to Altamont. Raymond James acted as an exclusive financial advisor and Stradley Ronon served as a legal advisor to Mini Melts USA.
About Mini Melts Ice Cream
Mini Melts is one of the fastest-growing ice cream novelties nationwide. The company distributes Mini Melts ice cream – including popular flavors, such as Cotton Candy, Cookies & Cream, and fan favorite, non-dairy Rainbow Ice – through Automated Kiosks, Grab and Go Freezers, custom serving carts, and huts all with -40F cryogenic freezers. A premium ice cream experience, Mini Melts is made with 14% butterfat, a competitive advantage in the space and a contributing factor to their customer's increased sales. Mini Melts is headquartered in the Philadelphia Metro Area with a manufacturing facility in Norwich, Connecticut, and distribution centers located across the United States.
