Private equity firm Swander Pace Capital is divesting Pineridge Bakery to Switzerland-based food company ARYZTA AG in a $340 million deal, a statement about the sale said.

Pineridge Bakery serves the Canadian market and is the leader in making and marketing frozen and fresh baked products. The sale, which will still be evaluated by the Canadian Competition Bureau, is expected to be completed in the second quarter of this year.

In the statement about the sale, Swander Pace Capital Managing Director Andrew Richards said the sale represented the end of a successful partnership that lasted for over six years, with all parties benefiting from the deal. He added, "Pineridge Bakery will be able to transition their momentum to a new partner with tremendous experience and global reach; ARYZTA acquires a leader in its space in North America; and we are able to return a significant result to our investors while leaving a growing company in capable hands. We couldn't be more thrilled."

Swander Pace Capital bought Pineridge Bakery in 2007. Under the ownership of the private equity firm, the specialty bakery was able to create more than 100 new jobs and increased its revenue to C$230 million. The bakery was also able to increase its products, improve its efforts to support customers and enhance operating efficiencies by investing growth capital of close to $40 million, the statement said.

Just like its successful investment in Pineridge Bakery, Swander Pace Capital has also undertaken other partnerships in Canada that have done very well in the past ten years. This include natural and organic yogurt maker Liberté Brand Products which was later acquired by Yoplait after it had grown its revenues twice and stamped its footprint in the North American market. Swander Pace Capital's existing investments in Canada include Recochem Inc, Lavo Inc and Kicking Horse Coffee, the statement said.