CINCINNATI — After 130 years of supplying the Greater Cincinnati region with bread, the family has decided to to sell the business and step away from the industry, according to a press release from Klosterman Baking Company.
The sale was finalized on July 8, when the business was acquired by New Water, an affiliate of New Water Capital Partners L.P., a private equity investment firm based in Boca Raton, FL.
"As a family, we decided it was in our best interest and the interest of the company that a new organization take the lead of the business," said Chip Klosterman in a press release.
Founded in 1892, Klosterman has been a staple in Greater Cincinnati for generations. In 2020, Ken Klosterman, then-owner and CEO of the company, passed away at the age of 87.
An avid fan of magic, he is credited with many local and national “firsts” in the baking business, including the first plastic bags on products, the first Pullman loaf in the area, the Coney bun, foot-long hotdog bun and the first half-loaves. For his baking innovations, he was inducted into the American Society of Baking's Hall of Fame in 2011.
To date, Klosterman Baking Company operates 17 bakeries and distribution facilities across eight states and is one of the largest privately-owned bakeries in the Midwest. The company provides bakery items to more than 8,000 restaurants, grocery stores, hospitals and school through Ohio, Kentucky, Indiana, northern Tennessee and western Pennsylvania.
New Water said Klosterman Baking Company will remain headquartered and operated in Greater Cincinnati.
"Over the course of four generations, the Klosterman family has built a remarkable business that has a reputation for putting customers and employees first," said Anuj Singh, New Water principal, in the press release.
Nick LaRose, New Water's vice president, said they plan to expand Klosterman's product portfolio and distribution footprint.
Details of the sale were not disclosed.
