San Francisco Equity Partners has sold Method, a developer and marketer of eco-friendly household and personal care products, to Ecover, a manufacturer and marketer of green household cleaning products. The sale of Method to Ecover will create the world’s largest green cleaning company, with global distribution and unmatched capabilities in green product development, innovation and manufacturing.
Method was founded in 2000 by Eric Ryan and Adam Lowry with the goal of transforming the household cleaner from a toxic chemical that hides under the sink to an all-natural, biodegradable and stylish countertop accessory. Today, Method can be found in more than 40,000 retail locations throughout North America, Europe, Asia and Australia. Since SFEP’s initial investment, Method’s sales have grown over 400 percent and the company has emerged as the largest and fastest-growing green home care brand in the world. Method is based in San Francisco (www.methodhome.com).
“We are thrilled to have partnered with Method’s founders, management team and employees in building one of the world’s premier consumer brands,” said Scott Potter, Managing Partner at SFEP. “Our investment in Method demonstrates SFEP’s ability to identify emerging consumer brands with immense potential and to work closely with management teams to drive sustained profitable growth. This transaction represents a great outcome for the company and its employees and concludes a highly successful investment for SFEP.”
“This transition marks a new chapter in the evolution of our business,” said Eric Ryan, Method’s Co-Founder and Chief Brand Architect. “Our partnership with SFEP was integral to Method’s rapid growth and success. Their expertise and support have been instrumental in helping Method drive brand strategy, increase distribution, dramatically enhance margin structure, and develop our management team. They have been ideal partners.”
San Francisco Equity Partners invests from $5 million to $20 million in consumer products, consumer services and business services companies that have revenue of $5 million to $50 million. The firm is based in San Francisco, CA (www.sfequitypartners.com).
Ecover is a European manufacturer and marketer of green household cleaning products and distributes its products through a variety of channels internationally. Products include laundry detergent, stain remover, fabric softener, dishwashing liquid, all-purpose cleaner as well as a number of other household products. Ecover was founded in 1980 and is based in Malle, Belgium (www.ecover.com).
Sawaya Segalas & Co., a consumer-focused investment banking firm, acted as exclusive financial advisor to Method in connection with the transaction.
© 2012 PEPD • Private Equity’s Leading News Magazine • 9-7-12