The Riverside Company Makes Healthy Addition to Western Botanicals

The Riverside Company, a global investment firm focused on the smaller end of the middle market, has invested in Yellow Emperor, a leading liquid dietary supplement developer and manufacturer, as the first add-on investment for portfolio company Western Botanicals (WB Blends). The investment significantly expands Western Botanicals' custom liquid manufacturing capabilities and strengthens its position as a premier formulator and manufacturing partner for health and wellness brands. 

Founded in 1981 and headquartered in Eugene, Oregon, Yellow Emperor is a contract development and manufacturing organization (CDMO) specializing in custom liquid formulations for dietary supplements. The company provides end-to-end services from formulation and ingredient sourcing through manufacturing, bottling, labeling and packaging to approximately 70 active customers, mainly dietary supplement brands.

Uniting two complementary CDMOs, the deal deepens Western Botanicals' liquid formulation expertise and adds capacity across multiple delivery formats, enhancing its offering to emerging and established health and wellness brands. 

“Consumers keep gravitating toward vitamin, mineral, and supplement (VMS) products and natural wellness solutions, creating attractive long-term growth for CDMOs with specialized capabilities,” said Riverside Brad Roberts, Co-Chief Investment Officer of Riverside’s Capital Appreciation strategy (RCAF). “Yellow Emperor is a natural complement to Western Botanicals, deepening its liquid platform, strengthening R&D and opening new ways to serve customers.”

Riverside plans to invest behind the combined business, growing its customer base and backing the innovation that drives long-term growth. 

This investment aligns with Riverside’s health, longevity and flavor investment thesis, which focuses on businesses benefiting from long-term demographic, wellness and innovation trends. 

“Yellow Emperor has earned an outstanding reputation in custom liquid manufacturing, and we're thrilled to welcome its talented team,” said Western Botanicals CEO Don Shaver. “Together, we'll offer customers a broader range of capabilities while delivering the quality, flexibility and innovation they rely on.”

Working with Roberts were Principal Caroline Shettle, Principal Harrison Petts, Senior Associate Armando Torres and Associate Love Patel. Managing Partner, Origination, Jeremy Holland, sourced this deal for Riverside. Senior Partner, Capital Markets, Anne Hayes secured the financing.