Krispy Kreme, Inc. sold its remaining stake in Insomnia Cookies Holdings, LLC for USD 75 million – to Insomnia Cookies and certain existing shareholders who were involved in the July 17, 2024 sale of Krispy’s majority ownership stake.

Verlinvest and Mistral Equity Partners have increased their investment in Insomnia Cookies with this acquisition, which marks a major milestone in the cookie maker’s 20-year history.

Insomnia has achieved an impressive double-digit annual revenue increase, with profit boosted by organic growth and new bakery openings. The brand is now on track to reach 1,800 bakeries globally over the next decade.

“We’re excited for this next phase of growth with Verlinvest and Mistral Equity Partners,” said Seth Berkowitz, CEO and Founder of Insomnia Cookies. “We’re united by a shared vision: to establish Insomnia as the undisputed leader in the indulgence category. With this support, we’re poised to rapidly scale and deliver more warm, delicious cookies to Insomniacs around the world.”

“We believe Insomnia Cookies has all the ingredients to become a global icon in quality indulgence: a visionary founder, a cult-like following, and a clear edge in digital convenience,” said Clément Pointillart, Managing Director at Verlinvest. “We’re proud to deepen our commitment to Seth and the team as we help take Insomnia across the globe.”

The move is said to balance Krispy Kreme’s sheet, its CEO said. “We continue to take swift, decisive action to de-leverage our balance sheet and drive sustainable, profitable growth,” commented Josh Charlesworth. “This is an important step as we focus on our two biggest opportunities: profitable U.S. expansion and capital-light international franchise growth. We wish Insomnia Cookies and their ownership group well as they work to realize the full potential of this unique brand.”

Expansion ahead

To further support its global growth ambitions, Insomnia Cookies welcomed three new members to its executive leadership team:

• Brent Chu, Chief Financial Officer  – with an extensive background in consumer goods and retail finance from companies such as PepsiCo, Ferrara Candy Company, and La Colombe
• Katie Seawell, Chief Marketing Officer – with experience at top CPG and retail brands such as Starbucks, Seawell
• Stephanie Boughner, Chief People Officer – expertise in talent development and organizational culture from her experience at Curio Wellness, Aramark, and Talent Solutions TAPFIN

About Insomnia Cookies

Insomnia Cookies is a bakery brand with a late-night concept. Founded in 2003 by then-student Seth Berkowitz at the University of Pennsylvania, the company began near college campuses and has since grown to nearly 350 locations across the U.S., Canada, and the U.K. Known for its loyal following and omni-channel model, Insomnia aims to deliver warm cookies anytime, anywhere, with plans to open 1,800 locations globally over the next decade.

Insomnia Cookies and its ice cream offerings are available in-store, for local delivery, and via shipping.

Photo: Insomnia Cookies