Paula Deen has found a key ingredient to bringing some sizzle back to her career — a cash infusion of at least $75 million from a private investment firm.
The celebrity cook announced Wednesday that she’s launched an umbrella company that will oversee her restaurants, cookbooks, product endorsements and other remaining slices of her media empire.
Paula Deen Ventures said private-equity firm Najafi Companies is investing $75 million to $100 million to help Deen make a comeback.
Deen’s fortunes took a dive last year after comments she made under oath during proceedings in a lawsuit, namely that she had used racial slurs in the past, became public. The Food Network dropped Deen, as did pork producer Smithfield Foods, book publisher Ballantine and several other companies that paid her to endorse their products.
In a statement, Deen praised the partnership with Phoenix-based Najafi and the decision to name Steven Nanula, who has already worked with Deen for the past two years, to serve as CEO of Paula Deen Ventures.
Jahm Najafi, CEO of the Najafi Cos., said his firm has great respect for Deen’s past success and is confident its investment will pay off.
Najafi also backs the Phoenix Suns, the Book of the Month Club and SkyMall, the direct marketing business aimed at travelers.
“We know that the enterprise will be successful and valuable, as Paula and her team continue to bring quality products and experiences to her loyal fan base,” Najafi said.
Her image took a crushing blow last summer when a transcript of a legal deposition Deen gave to lawyers in a discrimination lawsuit filed by a former employee was made public. Deen was asked under oath if she had ever used the N-word. “Yes, of course,” Deen replied, though she added: “It’s been a very long time.”
The lawsuit was settled out of court in August. Terms were never disclosed.