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Pacific Equity Partners′ troubles at Cranky Health, owner of The Man Shake weight-loss range, haven’t taken the shine off its final fundraising push for Fund VII.

Street Talk can reveal PEP has significantly marked down its investment in Cranky Health, after its $2.5 billion Fund VI bought into the business at a$200 million valuation, or 10 to 12-times earnings, in January 2022.

Sources said PEP is now valuing Cranky Health at less than $200 million, or sub one-times investors’ initial outlay, as the business battles high input costs and weaker demand amid cost-of-living pressures.

The situation has drawn the attention of a handful of distressed debt funds, but PEP is staying the course and said to be confident of a turnaround.

Read the full story tomorrow and more on the Street Talk page.

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Street Talk understands family owned and operated meat processor BE Campbell, founded more than 55 years ago, has tapped mid-market advisory shop Miles Advisory Partners to launch a sale process in the coming months.

The Australian sharemarket on Tuesday posted its biggest one-day gain in more than two years after US futures rallied and investors raced to buy up stocks that were thumped at the start of the week.

Click here for the latest equity market wrap.