Key Takeaways
- • Sentinel Capital Partners acquired DecoPac Inc. from Kohlberg & Company in July 2026; financial terms were not disclosed, though DecoPac serves more than 25,000 customer locations across the United States, Canada, and the United Kingdom.
- • DecoPac operates as the leading supplier of cake decorating solutions with proprietary technology platforms including CelebrationIQ® (online cake ordering and bakery management) and PhotoCake® (print-on-demand edible image system), supported by an extensive licensed IP portfolio spanning entertainment and professional sports.
- • Kohlberg, a $17 billion middle market investment firm, exited its DecoPac position after building the company since its formation in 1982 as an internal supplier to McGlynn's Bakery; William Blair served as financial advisor to DecoPac in the transaction.
- • Sentinel Capital Partners, a leading middle market private equity firm, intends to leverage its operational resources and Capital Solutions strategy to support DecoPac's growth, signaling continued investment in the specialty bakery technology and supplies sector.
Summary
Sentinel Capital Partners completed its acquisition of DecoPac Inc., a Minnesota-based cake decorating solutions supplier, from current owner Kohlberg & Company in July 2026. William Blair advised DecoPac on the transaction, which closed with undisclosed financial terms. The deal represents a transition of the portfolio company to new private equity ownership after Kohlberg's tenure since the company's formation in 1982.
DecoPac operates as the dominant North American supplier and marketer of cake decorating products and technology, serving a customer base exceeding 25,000 locations across the United States, Canada, and the United Kingdom. The company originated as an internal supplier function for McGlynn's Bakery before evolving into an independent enterprise. DecoPac's competitive position rests on proprietary technology infrastructure, including CelebrationIQ®, a cloud-based platform enabling online cake ordering and bakery management, and PhotoCake®, a print-on-demand edible imaging system. These solutions address key operational challenges for professional bakeries and cake decorators while supporting consumer personalization demands. The company's portfolio also includes an extensive library of licensed intellectual property across entertainment franchises, professional sports, and other consumer categories, developed through an in-house design function.
Kohlberg & Company, based in Mount Kisco, New York, managed approximately $17 billion in assets as of December 31, 2025, with a focus on middle market acquisitions characterized by strong brand positioning, recurring revenue streams, and leading market share. The firm's exit from DecoPac aligns with typical private equity hold periods and reflects successful portfolio value creation within the specialty services and consumer products segment.
Sentinel Capital Partners, the acquiring firm, operates as a middle market private equity investor known for providing operational support and strategic resources to portfolio companies. Sentinel's Capital Solutions strategy offers flexible debt and preferred capital structures as a minority partner framework, positioning the firm to support DecoPac's expansion while maintaining operational management continuity.
DecoPac operates as the dominant North American supplier and marketer of cake decorating products and technology, serving a customer base exceeding 25,000 locations across the United States, Canada, and the United Kingdom. The company originated as an internal supplier function for McGlynn's Bakery before evolving into an independent enterprise. DecoPac's competitive position rests on proprietary technology infrastructure, including CelebrationIQ®, a cloud-based platform enabling online cake ordering and bakery management, and PhotoCake®, a print-on-demand edible imaging system. These solutions address key operational challenges for professional bakeries and cake decorators while supporting consumer personalization demands. The company's portfolio also includes an extensive library of licensed intellectual property across entertainment franchises, professional sports, and other consumer categories, developed through an in-house design function.
Kohlberg & Company, based in Mount Kisco, New York, managed approximately $17 billion in assets as of December 31, 2025, with a focus on middle market acquisitions characterized by strong brand positioning, recurring revenue streams, and leading market share. The firm's exit from DecoPac aligns with typical private equity hold periods and reflects successful portfolio value creation within the specialty services and consumer products segment.
Sentinel Capital Partners, the acquiring firm, operates as a middle market private equity investor known for providing operational support and strategic resources to portfolio companies. Sentinel's Capital Solutions strategy offers flexible debt and preferred capital structures as a minority partner framework, positioning the firm to support DecoPac's expansion while maintaining operational management continuity.
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