Tag Archives: Consumer brands

BGF-backed Gousto becomes UK’s latest tech unicorn

BGF

BGF has today announced the closure of its fifth funding round in Gousto – the UK’s leading recipe box provider. The latest investment, worth £25 million (US $33 million) of new equity, was made in partnership with existing investor Perwyn. It has led to a valuation in excess of US$1 billion for the business, which has now become only the fourth UK company in 2020 to achieve ‘Tech Unicorn’ status. It follows hot on the heels of Synk and fellow consumer-facing businesses Gymshark and Cazoo.

Just 8 years since launch, Gousto joins an elite group of 19 venture-backed UK businesses, including the likes of Deliveroo, that have achieved a valuation of at least US$1 billion.

The new equity funds will add additional growth capital to Gousto’s own positive cashflow and is in-line with the business’ strategy, of at least tripling capacity by 2022.  During this period, there are plans to open three new customer fulfilment centres and create over 1,000 new jobs. The company’s second fulfilment centre in Lincolnshire is scheduled to go live before the end of 2020 and the development of centres three and four are being brought forward to meet the strong ongoing customer demand.

Stephen Welton, Executive Chairman at BGF, said: “We’ve worked with Gousto since 2015, delivering multiple rounds of funding over the last five years. We’re thrilled to have supported a business that has grown from an early stage venture to a market-leading scale-up in the highly dynamic meal-kit industry. This latest investment round is reflective of our belief in the sheer size of the market opportunity as well as the management team’s exceptional ability to deliver on its plans and to navigate the complex challenges and opportunities of 2020.”

Gousto is the global leader in automation technology within the sector and all of the fulfilment centres will utilise the Company’s proprietary algorithms which maximise speed of pick, daily volumes and pick accuracy, whilst minimising cost and food waste. This enables Gousto to offer a winning customer proposition; providing the most recipe choice with over twice as many recipes as its nearest competitor, for the best value, delivered directly to customers’ doors in the quickest time.

This is what has led to Gousto’s rapid success. Revenues for the three years ending 31 December increased sixfold between 2016 and 2019 and growth has remained strong with revenues for the first half of 2020 surpassing the £83m (US$108m) reported for the whole of 2019. Topline growth, combined with operational gearing has enabled Gousto to reach profitability faster than many leading tech peers. Gousto has been profitable since Q4 2019 and expects to generate a significant profit in 2020.

Having founded the business at the age of 26, Timo Boldt, Founder & CEO of Gousto commented: “Achieving tech unicorn status and joining the ranks of those elite companies that have attained a billion dollar valuation is a proud moment for the entire Gousto team and all of our shareholders but we are still only just getting started. The market opportunity ahead of us is vast, as changes in consumer behaviour drive permanent change through the entire grocery market.

“Our obsession with technology enabled us to scale our operations at speed in the first half of the year to meet an unprecedented and rapid increase in demand, with monthly meal deliveries doubling from 2.5m in January to 5m in June. The latest £25m fund raise will enable Gousto to scale further and faster, triple capacity to serve more families during these difficult times, ensure the safety of our teams and create jobs across the entire business. Gousto’s success is rooted in its absolute focus on delivering for its growing number of new and loyal customers the widest choice, the best value at the greatest convenience.”

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EQT Public Value to invest in BioGaia , a world leader in probiotic food supplements

eqt

  • EQT Public Value to invest in BioGaia through participation in a directed issue
  • As an active and long-term owner, EQT Public Value intends to work closely with existing shareholders, the board of directors and management with the ambition to support BioGaia’s continued growth
  • EQT Public Value aims to support BioGaia by providing access to EQT’s healthcare expertise, broad advisory network and in-house digital and sustainability teams

The EQT Public Value fund (“EQT Public Value”) announces its commitment to participate in a directed issue in BioGaia AB (“BioGaia” or “the Company”). As part of the directed issue, which is subject to the approval of an extraordinary general meeting, EQT Public Value intends to acquire 1,625,000 B shares representing a consideration of SEK 650 million.

Founded in Sweden in 1990 by entrepreneurs Peter Rothschild and Jan Annwall, BioGaia has built a world-leading position in the probiotic food supplements space. The Company has created networks of leading, independent researchers and specialists, manufacturing experts and local distribution partners worldwide. BioGaia’s clinically proven products are recommended by pediatricians and other healthcare professionals and sold across more than 100 countries.

BioGaia is listed in the Mid Cap segment on Nasdaq Stockholm and reported net sales of SEK 768 million and EBIT of SEK 243 million in 2019. The Company has a market capitalisation of SEK 7.3 billion pre directed issue, based on the closing price on Friday 30 October 2020 of SEK 423.5 per share.

BioGaia operates in an attractive and growing market underpinned by secular trends, such as an increased focus on health, a broadened use of probiotics in new fields, and an increased inclination towards preventive care. Following the approval of an extraordinary general meeting, BioGaia is expected to leverage on EQT’s long experience from developing strong healthcare assets, its global advisory network and in-house digital and sustainability teams. Moreover, BioGaia’s has a solid platform from which EQT Public Value foresees many opportunities for further organic growth and acquisitions.

Niklas Ringby, Co-Head of Public Value and Partner at EQT Partners, said: “We have followed BioGaia for a long time and are impressed with the company’s 30-year long track record of probiotic innovation, growth and recent initiatives to digitalize its business, an area where EQT has vast experience. Biogaia’s focus on making a positive societal impact is also well aligned with EQT’s strategy of making purpose-driven investments. EQT Public Value looks forward to working together with shareholders, board and management on the next phase of BioGaia’s growth journey.”

In addition to BioGaia, EQT Public Value has previously disclosed positions in Securitas, BHG Group AB, Storebrand, Adapteo and AFRY AB

Contact
Niklas Ringby, Co-Head and Investment Advisor to EQT Public Value and Partner at EQT Partners, +46 8 506 55 398
EQT Press Office, press@eqtpartners.com, +46 8 506 55 334

About EQT
EQT is a purpose-driven global investment organization with more than EUR 75 billion in raised capital and currently more than EUR 46 billion in assets under management across 16 active funds. EQT funds have portfolio companies in Europe, Asia-Pacific and North America with total sales of more than EUR 27 billion and approximately 159,000 employees. EQT works with portfolio companies to achieve sustainable growth, operational excellence and market leadership.

More info: www.eqtgroup.com
Follow EQT on LinkedIn, Twitter, YouTube and Instagram

About BioGaia
BioGaia is an innovative Swedish healthcare company and has been a world-leader in food supplements with probiotics for more than 30 years. Over the years we have created networks of leading, independent researchers and specialists, manufacturing experts and local distribution partners worldwide. Our products are recommended by pediatricians and other healthcare professionals in more than 100 countries. BioGaia’s products contain Lactobacillus reuteri, a probiotic bacteria that helps good microorganisms restore a natural balance in the gut. L. reuteri is one of few bacteria that has co-evolved with humans and because of this it naturally colonizes and has a strong adaptation and interacts with us. To date L. reuteri has been tested in 217 clinical trials (January 2020) and proven effective and safe in children and adults. BioGaia wants to contribute to better health in the world by offering clinically-proven and user-friendly probiotic products.

More info: www.biogaia.com

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Nielsen announces sale of Global Connect business to Advent International for $2.7 billion

Advent International

Advent, in partnership with former TransUnion CEO Jim Peck, will accelerate Nielsen Global Connect’s transformation and support its continued innovation in consumer and market measurement

Nielsen to hold a conference call to discuss today’s announcements as well as its third quarter 2020 financial results at 8:00 a.m. U.S. Eastern Time (ET) on Monday, November 2nd, 2020

NEW YORK, and BOSTON, November 1, 2020 – Nielsen Holdings plc (“Nielsen”) (NYSE: NLSN) announced today that it has signed a definitive agreement under which affiliates of Advent International (“Advent”), one of the largest and most experienced global private equity investors, in partnership with James “Jim” Peck, former Chief Executive Officer of TransUnion, will acquire the Nielsen Global Connect business for $2.7 billion (subject to working capital, cash, debt-like items and other customary adjustments). Nielsen will also receive warrants in the new company exercisable in certain circumstances. Upon completion of the transaction, Nielsen Global Connect will be a private company with the flexibility to continue investing in the development and deployment of leading-edge measurement products and solutions. The transaction was unanimously approved by Nielsen’s Board of Directors.

“This is a win for both Nielsen Global Connect and for Nielsen (RemainCo), as well as for our shareholders,” said David Kenny, Chief Executive Officer, Nielsen. “The sale of this business to Advent will deliver substantial value sooner than was anticipated through the planned spin-off and creates certainty for all stakeholders. The proceeds from the sale will allow Nielsen to significantly reduce debt, which will provide greater financial flexibility to execute our growth strategy and expand our role in the global media marketplace. At the same time, we are excited about this opportunity for Nielsen Global Connect and believe that moving forward as a private company will better position the business to accelerate its transformation and strengthen its market-leading position. With the support of Advent’s resources and expertise, we believe the new company will create and define the next century of consumer and market measurement. We thank the entire Nielsen Global Connect team for their invaluable partnership and look forward to continuing a strong working relationship with them in the future.”

Kenny added, “All of the terrific work done by so many to pursue a spin-off will position both businesses to thrive as standalone companies and will allow us to execute a smooth transaction. We are grateful for all of this dedicated work.”

“Nielsen Global Connect is the gold standard in retail measurement, with exceptional insights and unrivaled scale and coverage of the global CPG and retail markets,” said Peck. “As customers face a rapidly evolving marketplace, we recognize that they have high expectations for Nielsen Global Connect to help them meet these new demands and to build on its existing core platform and other retail measurement capabilities. We intend to work with David Rawlinson and the talented management team to accelerate the delivery of new capabilities and to continue the transformation underway to build an innovative, high-performing culture acutely focused on delivering value to customers around the world.”

“Advent is thrilled to partner with Jim in driving this next phase of growth for Nielsen Global Connect,” said Chris Egan, Managing Partner at Advent. “Advent has invested in data and information services companies for nearly three decades, and earlier this year we teamed up with Jim to identify a compelling business in the sector where we can apply our combined experience and resources to create value. We see tremendous potential to build on Global Connect’s cutting-edge platform, drawing on our global footprint and operational strength to further scale the business and advance its leadership across established and emerging markets.”

David Rawlinson will remain CEO of Nielsen Global Connect through the close of the transaction and is expected to be part of the leadership team for the go-forward company. Upon close, Peck will be involved in the day-to-day strategic and operational activities of the company, which will be headquartered in Chicago, IL. In early 2021, the Global Connect business will be renamed NielsenIQ.

Nielsen will grant Nielsen Global Connect a license to brand its products and services with the “Nielsen” name and other Nielsen trademarks for 20 years following closing. Additionally, Nielsen and Advent will enter into agreements pursuant to which, among other things, Nielsen and Advent will provide certain transitional services to each other for periods of up to 24 months following closing, grant each other reciprocal licenses for certain data and corresponding services relating to that data for periods of up to five years following closing and grant each other licenses to use certain patents.

Background on Nielsen Global Connect and Transaction Details
Nielsen Global Connect provides consumer packaged goods manufacturers and retailers with actionable information and a complete picture of the complex and changing marketplace that brands need to innovate and grow their business. The company offers data and builds tools that use predictive models to turn market observations into business decisions and winning solutions. These data and insights provide the essential foundation that makes markets possible in the rapidly evolving world of commerce.

Nielsen plans to use net proceeds of the transaction primarily to reduce debt and for general corporate purposes. On a pro-forma basis for the transaction, Nielsen expects year-end 2020 net leverage to be under 4X. The transaction is subject to approval by Nielsen shareholders, regulatory approvals, consultation with the works council and other customary closing conditions; it is expected to close in the second quarter of 2021.

Advisors
J.P. Morgan Securities LLC and Guggenheim Securities, LLC are acting as financial advisors to Nielsen, and Wachtell, Lipton, Rosen & Katz, Clifford Chance LLP, DLA Piper, and Baker McKenzie are serving as legal advisors to Nielsen. Ropes & Gray LLP and Weil, Gotshal & Manges LLP are serving as legal counsel to Advent and BofA Securities is serving as lead financial advisor, with Deutsche Bank Securities Inc., RBC Capital Markets and UBS Investment Bank also advising. Financing for the transaction is being arranged and provided by Bank of America, UBS Investment Bank, Barclays, Deutsche Bank AG New York, HSBC, RBC Capital Markets, MUFG and Wells Fargo.

Conference Call and Webcast
Nielsen will hold a conference call to discuss today’s announcements as well as its third quarter 2020 financial results at 8:00 a.m. U.S. Eastern Time (ET) on Monday, November 2, 2020. This conference call will replace the previously announced conference call scheduled for Thursday, November 5, 2020. Interested parties are encouraged to listen to the webcast as wait times for the call may be longer than normal. The webcast can be found on Nielsen’s Investor Relations website at http://nielsen.com/investors. Within the United States, listeners can also access the call by dialing 1+833-502-0473. Callers outside the U.S. can dial 1+236-714-2183. Please note that the conference ID is required to access this call; the conference ID is 2671835.

A replay of the event will be available on Nielsen’s Investor Relations website, http://nielsen.com/investors, from 11:00 a.m. Eastern Time, November 2, 2020 until 11:59 p.m. Eastern Time, November 9, 2020. The replay can be accessed from within the United States by dialing +1-800-585-8367. Other callers can access the replay at +1-416-621-4642. The replay pass code is 2671835.

About Nielsen

Nielsen Holdings plc (NYSE: NLSN) is a global measurement and data analytics company that provides the most complete and trusted view available of consumers and markets worldwide. Nielsen is divided into two business units. Nielsen Global Media provides media and advertising industries with unbiased and reliable metrics that create a shared understanding of the industry required for markets to function. Nielsen Global Connect provides consumer packaged goods manufacturers and retailers with accurate, actionable information and insights and a complete picture of the complex and changing marketplace that companies need to innovate and grow. Our approach marries proprietary Nielsen data with other data sources to help clients around the world understand what’s happening now, what’s happening next, and how to best act on this knowledge. An S&P 500 company, Nielsen has operations in over 90 countries, covering more than 90% of the world’s population. For more information, visit: www.nielsen.com

From time to time, Nielsen may use its website and social media outlets as channels of distribution of material company information. Financial and other material information regarding the company is routinely posted and accessible on our website at www. nielsen.com/investors and our Twitter account at twitter.com/Nielsen

About Advent International

Founded in 1984, Advent International is one of the largest and most experienced global private equity investors. The firm has invested in over 350 private equity transactions in 41 countries, and as of June 30, 2020, had $58.4 billion in assets under management. With 15 offices in 12 countries, Advent has established a globally integrated team of over 200 investment professionals across North America, Europe, Latin America and Asia. The firm focuses on investments in five core sectors, including business and financial services; health care; industrial; retail, consumer and leisure; and technology. After 35 years dedicated to international investing, Advent remains committed to partnering with management teams to deliver sustained revenue and earnings growth for its portfolio companies.

For more information, visit: www.adventinternational.com or www.linkedin.com/company/advent-international

Forward-Looking Statements
This communication includes information that could constitute forward-looking statements made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995. These statements include those set forth above relating to the proposed sale by Nielsen of its Global Connect business to an affiliate of Advent International Corporation (the “proposed transaction”), as well as those that may be identified by words such as “will,” “intend,” “expect,” “anticipate,” “should,” “could” and similar expressions. These statements are subject to risks and uncertainties, and actual results and events could differ materially from what presently is expected. Factors leading thereto may include, without limitation, the risks related to the COVID-19 pandemic on the global economy and financial markets, the uncertainties relating to the impact of the COVID-19 pandemic on Nielsen’s business, the timing, receipt and terms and conditions of any required governmental or regulatory approvals of the proposed transaction that could reduce the anticipated benefits of or cause the parties to abandon the proposed transaction, the occurrence of any event, change or other circumstances that could give rise to the termination of the stock purchase agreement entered into pursuant to the proposed transaction (the “Agreement”), the possibility that Nielsen shareholders may not approve the entry into the Agreement, the risk that the parties to the Agreement may not be able to satisfy the conditions to the proposed transaction in a timely manner or at all, risks related to the disruption of management time from ongoing business operations due to the proposed transaction, the risk that any announcements relating to the proposed transaction could have adverse effects on the market price of Nielsen’s common stock, the risk of any unexpected costs or expenses resulting from the proposed transaction, the risk of any litigation relating to the proposed transaction, the risk that the proposed transaction and its announcement could have an adverse effect on the ability of Nielsen to retain customers and retain and hire key personnel and maintain relationships with customers, suppliers, employees and other business relationships and on its operating results and business generally, the risk that the pending proposed transaction could distract management of Nielsen, conditions in the markets Nielsen is engaged in, behavior of customers, suppliers and competitors, technological developments, as well as legal and regulatory rules affecting Nielsen’s business and other specific risk factors that are outlined in our disclosure filings and materials, which you can find on http://www.nielsen.com/investors, such as our 10-K, 10-Q and 8-K reports that have been filed with the Securities and Exchange Commission. Please consult these documents for a more complete understanding of these risks and uncertainties. This list of factors is not intended to be exhaustive. Such forward-looking statements speak only as of the date of this communication, and we assume no obligation to update any written or oral forward-looking statement made by us or on our behalf as a result of new information, future events or other factors, except as required by law.

Additional Information and Where to Find It
This communication relates to the proposed transaction involving Nielsen. In connection with the proposed transaction, Nielsen will file relevant materials with the U.S. Securities and Exchange Commission (the “SEC”), including Nielsen’s proxy statement on Schedule 14A (the “Proxy Statement”). This communication is not a substitute for the Proxy Statement or for any other document that Nielsen may file with the SEC and send to its shareholders in connection with the proposed transaction. The transaction will be submitted to Nielsen’s shareholders for their consideration. Before making any voting decision, Nielsen’s shareholders are urged to read all relevant documents filed or to be filed with the SEC, including the Proxy Statement, as well as any amendments or supplements to those documents, when they become available because they will contain important information about the proposed transaction.
Nielsen’s shareholders will be able to obtain a free copy of the proxy statement, as well as other filings containing information about Nielsen, without charge, at the SEC’s website (www.sec.gov). Copies of the proxy statement and the filings with the SEC that will be incorporated by reference therein can also be obtained, without charge, by directing a request to Nielsen Holdings plc, 85 Broad Street, New York, NY 10004, Attention: Corporate Secretary; telephone (646) 654-5000, or from Nielsen’s website, www.nielsen.com.

Participants in the Solicitation
Nielsen and certain of its directors, executive officers and employees may be deemed to be participants in the solicitation of proxies in respect of the transaction. Information regarding Nielsen’s directors and executive officers is available in Nielsen’s definitive proxy statement for its 2020 annual meeting, which was filed with the SEC on April 1, 2020, and Nielsen’s Current Report on Form 8-K, which was filed with the SEC on April 30, 2020. Other information regarding the participants in the proxy solicitation and a description of their direct and indirect interests, by security holdings or otherwise, will be contained in the Proxy Statement and other relevant materials to be filed with the SEC in connection with the proposed transaction when they become available. Free copies of this document and such other materials may be obtained as described in the preceding paragraph.

Media contacts

Nielsen
Investor Relations: Sara Gubins, +1 646 654 8153, sara.gubins@nielsen.com
Media Relations: Fernanda Paredes, +1 917 291 1196, fernanda.paredes@nielsen.com

Advent International
Kerry Golds or Anna Epstein
Finsbury
Tel: +1 646 805 2000
Adventinternational-US@finsbury.com

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Francisco Partners Announces Acquisition of MyFitnessPal from Under Armour

Franciso Partners

Press Release – October 30 2020

Under Armour Enters Into Definitive Agreement To Sell The MyFitnessPal Platform To Francisco Partners

BALTIMORE — Under Armour, Inc. (NYSE: UA, UAA), a global leader in branded athletic performance apparel, footwear and accessories, today announced that it has entered into a definitive agreement to sell the MyFitnessPal platform to Francisco Partners.

“As part of our ongoing transformation, we are committed to actively managing our business to ensure that our strategies and assets are prioritized to connect even more deeply with our target consumer – the Focused Performer,” said Under Armour President and CEO Patrik Frisk. “This announcement reduces the complexity of our consumer’s brand journey by empowering sharper alignment with our long-term digital strategy as we work towards a singular, cohesive UA ecosystem. Additionally, it affords us investment flexibility to drive greater return and value to our shareholders over the long-run.”

“MyFitnessPal supports over 200 million users in their ongoing health and fitness journeys and we are excited to partner with the business for its next stage as a standalone company to continue a strong history of recurring revenue growth, organic user acquisition and a unique consumer proposition,” said Christine Wang, Principal at Francisco Partners.

The transaction value is $345 million, inclusive of the achievement of potential earn-out payments and subject to working capital and other customary adjustments. The transaction, which is expected to close in the fourth quarter of 2020, is subject to customary closing conditions and regulatory approvals. PJ SOLOMON has served as exclusive financial advisor to Under Armour on the transaction. King & Spalding LLP is acting as legal advisor. Paul Hastings LLP and Kirkland & Ellis LLP are acting as legal advisors to Francisco Partners.

MyFitnessPal is currently reported within Under Armour’s Connected Fitness segment, which also contains the MapMyFitness and Endomondo platforms. In conjunction with this announcement, the company also announced that it would discontinue its Endomondo platform’s operations at the end of 2020. The MapMyFitness platform, which includes MapMyRun and MapMyRide, remains a crucial element of Under Armour’s digital strategy, as does its connected footwear business.

About Under Armour, Inc.

Under Armour, Inc., headquartered in Baltimore, Maryland, is a leading inventor, marketer and distributor of branded athletic performance apparel, footwear and accessories. Powered by one of the world’s largest digitally connected fitness and wellness communities, Under Armour’s innovative products and experiences are designed to help advance human performance, making all athletes better. For further information, please visit https://about.underarmour.com.

About Francisco Partners

Francisco Partners is a leading global investment firm that specializes in partnering with technology and technology-enabled businesses. Since its launch over 20 years ago, Francisco Partners has raised over $24 billion in committed capital and invested in more than 300 technology companies, making it one of the most active and longstanding investors in the technology industry. The firm invests in opportunities where its deep sectoral knowledge and operational expertise can help companies realize their full potential. For more information on Francisco Partners, please visit www.franciscopartners.com.

Forward Looking Statements

Some of the statements contained in this press release constitute forward-looking statements. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts, such as statements regarding the expected sale of our MyFitnessPal business and related benefits to our company. In many cases, you can identify forward-looking statements by terms such as “may,” “will,” “should,” “expects,” “plans,” “assumes,” “anticipates,” “believes,” “estimates,” “predicts,” “outlook,” “potential” or the negative of these terms or other comparable terminology. The forward-looking statements contained in this press release reflect our current views about future events and are subject to risks, uncertainties, assumptions and changes in circumstances that may cause events or our actual activities or results to differ significantly from those expressed in any forward-looking statement. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future events, results, actions, levels of activity, performance, or achievements. Readers are cautioned not to place undue reliance on these forward-looking statements. Several important factors could cause actual results to differ materially from those indicated by the forward-looking statements, including, but not limited to those identified in our most recent annual and quarterly reports filed with the Securities and Exchange Commission. The forward-looking statements contained in this press release reflect our views and assumptions only as of the date of this press release. We undertake no obligation to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made or to reflect the occurrence of unanticipated events.

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BGF exits investment in Chase Distillery

BGF

BGF has today announced the exit of its minority investment in Chase Distillery, the owner of Chase GB Gin and the award-winning Chase Original Potato Vodka, after Diageo announced that it has reached an agreement to acquire the spirits portfolio.

The BGF Midlands team originally acquired a minority stake in the business in 2017. The investment was used to support the company’s clear vision of building a globally recognised brand.

Headquartered in Hereford, Chase Distillery is an award-winning, family-owned business that produces sustainable spirits. Founded by entrepreneur William Chase, sustainability and a relentless focus on quality are at the heart of everything the Chase Distillery does. The spirits portfolio is distilled from scratch using British-grown potatoes, apples and all-natural botanicals on the Chase Farm.

Over the last three years, Chase has expanded its global presence in the US, Australia and the UAE. Chase Original Potato Vodka is now served at some of the world’s top bars, as well as sold online and in major shops across Europe.

BGF is also an investor in Warwickshire based Purity Brewing, having backed the business in 2018 with £7.5m growth capital; Cheltenham based Off Piste Wines, which received BGF investment of £8m in 2019 and Renegade Spirits, owner of Waterford Distillery located in the south east of Ireland.

Gurinder Sunner, head of BGF’s Midlands office, said: “We’ve thoroughly enjoyed working with William and the wider team at Chase Distillery. As a British, family-owned business, they have developed a premium product and brand that resonates with its consumers and have been steadfast in their vision for the future.

“The business understands the necessity of quality and care in crafting high-end spirits in a competitive market and our investment has helped to facilitate growth – both in the UK and internationally.”

Andrew Carter, Managing Director at Chase Distillery, said: “We’re excited to be joining the Diageo family. We’ve grown rapidly over the last three years and this acquisition marks the next step on the journey of the brand.

“BGF’s investment played a key role in getting us to this position. They’ve been a supportive backer and their help and expertise has helped to guide the team as we’ve grown internationally and expanded our market reach.”

 The acquisition is expected to close in early 2021 subject to regulatory clearances.

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Nordian Capital and J-Club International complete acquisition

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Nordian Capital

Amsterdam and Almere, October 22, 2020 – Nordian Capital and J-Club International, European market leader in private label fashion jewelry, accessories and greeting cards, have completed their transaction. The management of J-Club and the team of Nordian Capital have set aside their previous dispute about financing conditions and jointly focus on the future. Nordian has acquired the majority of the shares of J-Club. With the completion of this acquisition, J-Club and Nordian will focus on executing the joint investment strategy which consist of international growth and expanding services to retailers with additional product categories.

With this transaction, all minority shareholders have sold their shares. The founders will remain important shareholders and will fully focus on the next phase of growth of J-Club. The transaction has been completed after Nordian and J-Club were able to secure external financing on favorable terms for all involved, with the help of the Dutch parties Rabobank, DMF and FundIQ. Joost Verbeek, Managing Partner Nordian Capital: “We are pleased that we can leave a difficult acquisition process behind us and now focus on the growth of J-Club. We have great confidence in the business model of J-Club and we strongly believe that together with its management we can continue to grow the business both domestically as well as internationally. The current turbulent times are difficult for all types of companies, but we are confident that once we return to a normal society, J-Club will be stronger and will emerge as a winner. Together with management of J-Club – we are going to work hard to achieve this.”

National and international growth
J-Club now looks to the future with great confidence. Sjoerd Everts, co-founder: “This acquisition enables us to jointly pursue with the investment strategy: growth by accelerating our international expansion on the one hand and expanding our business model, the full-service for retailers of the J-Club portfolio, to other product categories such as for example winter accessories and hair fashion. ”

Marcel van Doorn, co-founder of J-Club: “It is good that we have concluded all discussions and are working together on creating a bright future for J-Club. Ultimately, we can say that, after this sometimes difficult phase, the relationships are now back to the level they were at the beginning of this year, when we first decided to work together, and we all realize there are plenty of opportunities. We are currently expanding strongly within national and international retail chains. They see the J-Club business model as a very attractive addition to their own product range and operation.”

About Nordian Capital
Nordian Capital (Nordian.nl) is an independent Dutch private equity investor, focused on increasing and accelerating the growth of companies. Founded in 2014, Nordian has now contributed to more than 30 companies as a critical and committed investment partner. Nordian Capital offers proactive support in the areas of strategy, financing or mergers & acquisitions. Nordian actively supports and assists the management of its companies, so that the entrepreneurs can continue to do what they do best: growing their business.

About J-Club International
J-Club International (J-Club.com) is the European market leader in private label fashion jewelry, accessories and greeting cards through its shop-in-shop concept. Founded in 2010, more than 1,200 employees provide the product range in more than 12,500 stores for over 40 retailers in 25 EU countries. Together with its retail partners, J-Club works towards only one common goal: loyal and satisfied customers.

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Riverside Gets a Grip on Its Latest Investment

Riverside

News Release October 22, 2020

The Riverside Company, a global private equity firm focused on the smaller end of the middle market, has invested in Geroline Inc., a virtual manufacturer of footwear traction aids serving diverse industrial end-markets in Canada and the United States. Geroline is an add-on to Riverside’s SureWerx platform, a leading supplier of professional safety products, tools and equipment.

Geroline has transformed the ice cleat market over the last five years. Under the K1 brand, the company developed a unique ‘twist’ to the traction aid industry by providing a mid-sole ice cleat that can be easily rotated from the sole to the top of the footwear for easy outdoor to indoor or outdoor to in-vehicle transitions. Geroline also provides mid-sole traction aids that are certified Intrinsically Safe for use in hazardous and flammable environments. The simple yet effective nature of this product is revolutionizing the traction aid industry for every type of professional worker.

“We’re excited to work with the Geroline team and build upon its already-proven product line,” said Riverside Partner Brad Roberts. “This investment is the next step in our strategy to build SureWerx into the leading provider of innovative, proprietary safety brands that are highly sought after by end-users and distributors alike.”

Geroline is SureWerx’s fourth add-on since Riverside acquired the platform in November 2018. Riverside is actively supporting SureWerx’s efforts to add complementary new products and categories and deliver best-in-class service to its growing, global network of loyal distributors and end-users.

“Under our platform umbrella, we plan to introduce Geroline’s superior mid-sole traction aids into the SureWerx sales engine to drive additional growth,” said Riverside Principal Constantine Elefter. “Geroline represents an opportunity for SureWerx to take a strong, niche brand and expand its reach into its broad distribution network.”

This is one more example of Riverside’s dedication to a broad range of specialty manufacturing and distribution companies and a growing commitment to businesses focused on workplace and employee health and safety. Working closely with management, Riverside fosters growth through a unified approach that pairs investment expertise with Riverside’s global resources.

“Adding K1 to our growing world-class portfolio of SureWerx brands continues to propel us toward our goal of becoming the global leader in safety and productivity,” said SureWerx Chief Executive Officer Chris Baby. “As the dominant mid-sole brand, K1 is highly complementary to our Due North portfolio, which enjoys a leadership position in full-coverage ice cleats. Combined, SureWerx now offers the best one-two punch in the slip protection market.”

Geroline’s K1 Series joins the SureWerx family of highly respected safety brands including Due North®, Jackson Safety®, Wilson®, Sellstrom®, Pioneer®, KneePro®, PeakWorks® and ADA Solutions®.

Working with Roberts and Elefter on the deal were Senior Associate Tom Wyza, Associate Max Simon, Operating Partner Eric Nowlin and Operating Finance Executive Kyle Morse. Partner Anne Hayes helped secure financing for the transaction.

Golub Capital provided debt financing for the deal. Jones Day and Alvarez & Marsal supported the transaction as the legal counsel and accounting advisor, respectively. Aramar Capital Group acted as the financial advisor to Geroline.

Muellerholly BKG 300X450 Holly Mueller Consultant, Global Marketing and Communications Cleveland +1 216 535 2236

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Successful closing of Dufry’s rights issue sees Advent become a minority investor

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Advent International

LONDON, October 22, 2020 – Dufry AG (SIX: DUFN) (“Dufry”) announces that it has successfully concluded the rights offering. The offer price of the new shares was set at CHF 33.22 per share, corresponding to the volume weighted average price of the existing shares as of market close on October 19, 2020, in line with the pricing mechanism publicly communicated on October 6, 2020. All 24,696,516 offered shares were sold in the offering, resulting in expected gross proceeds of CHF 820 million.

Before the launch of the offering, Dufry had secured equity investment commitments to purchase new shares not taken up by existing shareholders from funds managed by Advent International Corporation or its affiliates (“Advent International”) and a wholly owned subsidiary of Alibaba Group (the “Commitment Shares”). As the number of Commitment Shares exceeds the number of offered shares which were not subscribed for by existing shareholders, the offer price was set in line with the terms of the offering at the price at which the Commitment Investors placed binding orders in the international offering, being CHF 33.22 per new share. No new shares will be sold to the market in the international offering.

10,612,024 new shares were subscribed by existing shareholders as part of the rights offering, 9,178,033 new shares have been allocated to Advent International and 4,906,459 new shares have been allocated to Alibaba Group, corresponding to the maximum possible total of 24,696,516 new shares sold in the offering.

Immediately following the closing of the offering, Advent International will own a stake of 11.4% in Dufry and Alibaba Group of 6.1%. Advent International and Alibaba Group have agreed to a lock-up period of six months following the first day of trading of the new shares.

The new shares are expected to be listed and eligible for trading on SIX Swiss Exchange as of October 22, 2020. The settlement and delivery of the new shares against payment of the subscription price is expected to occur on October 22, 2020.

Based on the offer price of CHF 33.22 per new share, Dufry expects gross proceeds of CHF 820 million. After the capital increase, the share capital of Dufry increases by CHF 123,482,580 from CHF 277,835,830 to CHF 401,318,410, divided into 80,263,682 registered shares with a nominal value of CHF 5.00 each.

Concurrently with the rights offering, Dufry and Alibaba Group have agreed a term sheet under which Alibaba Group shall invest CHF 69.5 million in Dufry via mandatory convertible notes. For this purpose, Dufry shall issue 3-year mandatory convertible notes with a 4.1% coupon per annum to Alibaba Group, convertible into approximately 2.1 million ordinary shares of Dufry at CHF 33.22 per Dufry share.

Pursuant to the terms and conditions of the Dufry Senior Convertible Bonds due 2023, as a result of the Rights Offering, as described in the Offering Circular dated October 6, 2020, in accordance with condition 6.1(c), it is determined that no adjustment to the conversion price shall be made.

For further information please click here.

Media contacts

ADVENT INTERNATIONAL
Germany
Jobst Honig
Tel: +49 (30) 59 00 46 9-13

Jacqueline Niemeyer
Tel: +49 (69) 92 18 74-71
advent@heringschuppener.com

UK
Graeme Wilson or Harry Cameron
Tel: +44 (0)20 7353 4200
Advent@tulchangroup.com

United States
Kerry Golds or Andrew Johnson
Tel: +1 646 805 2000
Adventinternational-US@finsbury.com

DUFRY
Renzo Radice – Global Head Corporate Communications & Public Affairs
Tel: +41 61 266 44 19
Email: renzo.radice@dufry.com

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Outdoor Apparel Disruptor SA Company Receives Strategic Investment from TZP Group

TZP Group

Partnership to drive next phase of brand growth, innovation and customer engagement as SA continues to scale the business

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TZP Group

Oct 21, 2020, 09:00 ET

BOCA RATON, Fla., Oct. 21, 2020 /PRNewswire/ — SA Company (“SA” or, the “Company”) a leading outdoor lifestyle apparel business, announced that it has received a strategic investment from TZP Group (“TZP”), through TZP Capital Partners III, LP, a private equity firm based in New York. Terms of the transaction were not disclosed.

(PRNewsfoto/TZP Group)

Founded in 2014 by CEO Thomas DeSernia, Jr., SA Company is a high-growth e-commerce retailer that is focused on providing quality outdoor apparel and accessories. Well known for its popular Face Shield® line of tubular bandanas, the Company has become synonymous with innovative, affordable products that enhance the outdoor experience, across fishing, hunting, boating, and similar outdoor verticals.  Thomas DeSernia, Jr. will continue to lead the company in his role as CEO, Thomas DeSernia, Sr. will continue in his role as President, and the DeSernia family will maintain a meaningful ownership position in the Company.

SA Company has experienced significant, profitable growth with revenue exceeding $100 million as demand for affordable outdoor apparel has accelerated. As part of the investment, TZP will help support the Company’s operations and continue to drive its growth by deepening existing customer relationships and increasing brand awareness, while also exploring new product categories and retail distribution opportunities in the future.

“TZP has been a great partner to me and our team, well before they became an investor in the business, helping us think through opportunities to enhance the business and positioning SA for continued success. We are excited to enter into this new chapter of growth with TZP and believe that they will be a strong partner as we look to further establish our leadership position in the outdoor lifestyle category,” said Thomas DeSernia, Jr. founder and CEO of SA Company. “We believe that our customers shouldn’t have to choose between price and quality gear, and we’re proud to offer the combination of quality, value and style that they are looking for to safely and comfortably enjoy the outdoor activities they love, now more than ever before. We expect the TZP partnership to help us further accelerate the tremendous growth we have seen in the business to date, allowing us to better serve the needs of our current and future customers and fulfill our mission to make accessible apparel and accessories to enjoy the outdoor lifestyle.”

“SA Company has significantly disrupted the outdoor lifestyle apparel business by focusing on value, comfort and style, providing quality products at competitive prices targeting fishing, hunting, boating, and similar outdoor verticals. Unlike many other brands, SA has tapped into the outdoor enthusiasts’ need to enjoy the outdoors without having to overpay for the gear they need,” said Dan Galpern, Partner at TZP.

“We were impressed by Thomas and his team’s execution, the strong financial performance and scalability of the SA Company business model, the foundation of which was built on an exceptional DTC brand. With a solid platform in place, strong profitability and a loyal, growing community of outdoor enthusiasts, the Company is well positioned to benefit from the continued outdoor and ecommerce industry tailwinds. We are grateful for the opportunity to join Thomas and the talented SA team to help capitalize on the significant growth opportunities ahead,” Mr. Galpern added.

Dan Galpern, Jarrad Berman, Matt Doherty, and Geoffrey Allard worked on the transaction for TZP. Kirkland & Ellis LLP and Greenberg Traurig, LLP provided legal counsel.

About SA Company
SA Company is a leading outdoor lifestyle apparel business known for its innovative, affordable products that enhance the outdoor experience, across fishing, hunting, boating, and similar outdoor verticals. Founded in 2014 by Thomas DeSernia, Jr., in Boca Raton, Florida, SA Company is focused on providing quality outdoor apparel and accessories, offering customers a combination of quality, value and style to safely and comfortably enjoy the outdoor activities they love. SA Company products are available to consumers at www.safishing.com.

About TZP Group
TZP Group, a private equity firm with $1.7 billion raised since inception across its family of funds including TZP Capital Partners, TZP Small Cap Partners and TZP Strategies, is focused on control, growth equity and structured capital investments in business services and consumer companies. Founded in 2007, TZP targets companies with solid historical performance and sustainable value propositions and aims to be a “Partner of Choice” for business owners and management teams. TZP seeks to invest primarily in closely-held, private companies in which the owners desire to retain a significant stake and partner with an investor with complementary operating and financial skills to accelerate company growth, increase profitability, and maximize the value of their retained stake. TZP leverages its investment professionals’ operating and investment experience to provide strategic and operational guidance and is dedicated to long¬term value creation. For more information, please visit www.tzpgroup.com.

MEDIA CONTACTS

TZP Group:
Tiffany Shatzkes
tshatzkes@tzpgroup.com

SA Company:
Jessica Liddell
Jessica.liddell@icrinc.com

SOURCE TZP Group

Related Links

http://www.tzpgroup.com

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3d investors expands to the Netherlands with investment into Care Cosmetics

3D Investors

Alongside founder Duco Van Keimpema, 3d investors will accelerate the growth ambitions of Care Cosmetics, the Dutch market leader in cosmetics for beauticians.

Care Cosmetics was founded in 1996 by Duco Van Keimpema. The company, with approximately 80 employees and locations in Barendrecht, Breda and Maaseik (Belgium), is the largest supplier for beauticians in the Benelux region. The company represents 30 internationally renowned brands such as RoC and Guinot as well as their own brand Pascaud. Today, Care Cosmetics has a client base of over 2500 loyal beauticians as well as several large retail clients. The company’s yearly revenues have grown to approximately €20 million.

After almost 25 years, attracting a business partner was a logical next step for Duco Van Keimpema: “In times of recessions, people spend less money on cars and holidays, however, they spend more rather than less on personal care products. We have been growing tremendously recently, which is why there are multiple strategic choices we can make to accelerate future growth.”

The good cultural fit between 3d investors and Care Cosmetics was confirmed quickly. Investment Director Nicolas Sneyers: “In general the market is at the start of a period of further consolidation, internationalization and digitalization. Our expertise in these matters, the excellent reputation of Care and the cultural fit turns out to be the right combination. It is now up to the team of Care Cosmetics and 3d investors to determine the right steps going forward.”

Van Keimpema adds that it is possible to consider a further expansion of the product range: “There are multiple trends in the market right now such as cosmetic products for men or socially responsible cosmetics (e.g. sustainable cosmetics). We could also expand the product line to include more self-owned brands or supplemental beauty products. Lastly, we would like to grow more in the Belgian market where it is our aim to become market leader within the next 3 years. In this same time period we would like to successfully roll out our operations in Germany, where the first brand commitments have already been secured”

In the new ownership structure Duco Van Keimpema will remain involved in Care Cosmetics as a significant shareholder. Operationally, he will focus more on strategic questions, acquisitions and internationalization. “Our clients and brands will barely notice this new situation. At most, our slogan ‘No Limits’, will become even more meaningful now that we’ve partnered up with 3d investors.”

For more information on Care Cosmetics: https://carecosmetics.nl/

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