MCG Capital Provides $14.9M Financing to Hammond’s Candies Acquisition of The Virginia Food Group

ARLINGTON, Va.--(BUSINESS WIRE)--MCG Capital Corporation (Nasdaq: MCGC) announced the closing of a $14.9 million investment in Hammond’s Candies Since 1920 II, LLC. MCG’s investment consists of a subordinated term loan, and a senior secured term loan and revolving credit facility. Cambridge Information Group invested equity in the transaction.

Hammond’s is a niche manufacturer and marketer of premium branded candies, sold through various retail channels. MCG’s investment was made in conjunction with Hammond’s acquisition of The Virginia Food Group, Inc., d/b/a Old Dominion Peanut Company. ODP is a leading manufacturer and marketer of value branded seasonal peanut brittle and peanut candy, sold through value-oriented retailers throughout the United States.
“We are thrilled to have led the debt financing to support Hammond’s acquisition of ODP,” said Peter Malekian, Executive Vice President and Managing Director of MCG. “Both Companies’ management teams have demonstrated their respective abilities to grow in their segments. We believe this business combination will create a dynamic niche manufacturer of seasonal and everyday candy products with enhanced capabilities to serve a broad customer base. This transaction underscores our commitment to provide flexible and creative financing solutions to growing niche middle-market businesses.”

Of the funding, Andrew Schuman, CEO of Hammond’s, said, “MCG was instrumental in helping design the framework and capital structure that best fit the transaction for Hammond’s. Their input was invaluable and they certainly did their homework on us and the target.”

About MCG Capital Corporation

MCG Capital Corporation is a solutions-focused commercial finance company providing capital and advisory services to middle-market companies throughout the United States. Our investment objective is to achieve current income and capital gains. Our capital is generally used by our portfolio companies to finance acquisitions, recapitalizations, buyouts, organic growth and working capital. For more information, please visit

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