Florida-based private equity firm New Water Capital (NWC) has made an investment in Pegasus Foods, a primary contract manufacturer of frozen appetisers and snacks.

Pegasus manufactures products for consumer packaged goods and retail grocery companies in addition to fast-food restaurants.

Following this investment, NWC will partner to support Pegasus’s recent expansion into a second manufacturing plant.

The second manufacturing plant is a 135,000ft2 facility in Rockwall, Texas.

The company has a 55,000ft2 facility in Los Angeles and the expansion into the Rockwall plant will enable it to meet growing demand from new customers and better serve its existing markets.

“As highly regarded partners with expertise in the food manufacturing sector, the fact NWC partnered with us demonstrates their confidence in Pegasus and our strategy for growth.”

Pegasus’s day-to-day management will continue under the leadership of company founders Jim Zaferis and Van Ambatielos.

NWC partner Jason Neimark said: “Pegasus’s strengths include its ability to satisfy the quality and safety specifications of the largest and most demanding consumer packaged goods (CPG) companies and manufacture an extremely diverse product line, while still providing the flexibility to customise packaging, labelling and product selection to meet all of its customers’ needs.

“NWC looks forward to partnering with management as the company scales its manufacturing capacity and takes advantage of significant opportunities that have been presented to Pegasus in the frozen food contract manufacturing industry.”

Zaferis said: “We at Pegasus look forward to our partnership with NWC, which will allow us to meet the growing demand for high-quality, high-convenience frozen foods. As highly regarded partners with expertise in the food manufacturing sector, the fact NWC partnered with us demonstrates their confidence in Pegasus and our strategy for growth.”

This is NWC’s eighth investment since it was founded in 2015 and the second in the food manufacturing sector.