Deloitte Corporate Finance was the financial advisor to Europa Sports Products in its recent merger with Lone Star Distribution, a portfolio company of Sheridan Capital Partners. The transaction closed back on February 17, 2016.
“The Deloitte Corporate Finance team was instrumental in helping us navigate a mutually exciting transaction with Lone Star and Sheridan Capital Partners. Their collective knowledge of the consumer industry and transactional experience in the nutritional supplements space were key to the process,” said Jeff Compton, co-CEO of the newly combined company.
Deloitte Corporate Finance provides deal execution and financial advisory services to large corporate, middle market, and private equity firms. Together with the corporate finance advisory practices within the Deloitte Touche Tohmatsu network of member firms, the practices include in excess of 1,900 professionals and 150 international locations (www.investmentbanking.deloitte.com).
Europa Sports Products is a national specialty distributor of protein powders, nutrition bars, sports drinks, sports performance supplements, vitamins, weight loss supplements, and meal replacements. The company sells its more than 6,000 SKUs to mass markets retailers, gyms, health food stores and specialty supplement retailers. Europa has 336,500 sq. ft. of total warehouse space in seven distribution centers in Charlotte, Dallas, Strongsville (Ohio), Fresno, Windsor (Connecticut), Orlando, and Las Vegas. The company was founded in 1990 by Eric Hillman and Jeff Compton and is headquartered in Charlotte (www.europasports.com).
Lone Star Distribution, acquired by Sheridan Capital in May 2015, is a wholesale distributor of sports nutrition and fitness products, including protein powders, vitamins, and workout and weight loss supplements. The company has a nationwide network of distribution centers and sells its products to vitamin and supplement stores, gyms, e-retailers, smoothie bars, and juice bars. The company was founded in 1997 and is headquartered in Dallas (www.lonestardistribution.com).
“The Europa and Lone Star teams have worked diligently to build companies that have established themselves as trusted resources within the health and wellness industry,” said Lorin DeMordaunt, a managing director and consumer and retail group lead at DCF. “Helping Europa and Lone Star find a strategic partnership aimed at advancing their position as a market leader in the nutritional and sports supplements space was a rewarding experience.”
Sheridan makes investments of $10 million to $30 million in leveraged buyouts, recapitalizations and large minority financings of lower middle-market companies with enterprise values between $20 million and $150 million. Sectors of interest include healthcare and consumer. The firm was founded in 2012 and is headquartered in Chicago (www.sheridancp.com). Sheridan’s transaction team was led by Jonathan Lewis, Sean Dempsey, Tim Wheeler and Chase Culbertson.
© 2016 Private Equity Professional • Private Equity’s Leading News Magazine • 3-4-16