Consumer-focused Lion Capital has signed an agreement to acquire a minority interest in Authentic Brands Group, a portfolio company of Leonard Green & Partners (LGP).
Authentic Brands Group (ABG) was formed by LGP in 2010 to acquire, manage and build value in prominent consumer brands and is led by Jamie Salter CEO. LGP and Mr. Salter will remain the majority owners of ABG upon completion of the Lion transaction. ABG has offices in New York, Toronto and Los Angeles (www.authenticbrandsgroup.com).
ABG’s specific areas of interest include fashion, sports and lifestyle, celebrity, media and entertainment. The company’s portfolio includes more than 23 brands such as Elvis Presley, Marilyn Monroe, Muhammad Ali, Shaquille O’Neal, Juicy Couture, Jones New York, Hickey Freeman, Spyder and Tapout. ABG’s brands have total annual retail sales of approximately $4.5 billion.
“After spending time with Jamie and the ABG team, I have gained a tremendous respect for the platform the ABG team has built,” said Lyndon Lea, a partner at Lion Capital. “Jamie and I saw appealing synergies between ABG and Lion Capital, and our investment represents an exciting next step for the development of ABG.”
Lion’s consumer investments include Kettle Foods, a producer of all-natural snacking products; John Varvatos, a men’s lifestyle brand; Perricone MD, an anti-aging skincare brand; Jimmy Choo, a luxury shoe and accessories retailer; and AllSaints, a contemporary fashion brand with a global store network.
Lion Capital makes investments in consumer businesses in Europe and North America. With offices in London and New York, the firm’s principals have led the investment of €6 billion of equity capital in more than 30 businesses and more than 100 consumer brands across North America and Europe. Lion Capital has offices in London and Los Angeles (www.lioncapital.com).
Leonard Green invests in middle-market companies in the retail, distribution, healthcare, aerospace/defense, and consumer/business services sectors. The firm was founded in 1989 and manages approximately $15 billion of equity capital. Leonard Green is headquartered in Los Angeles (www.leonardgreen.com).
© 2016 Private Equity Professional • Private Equity’s Leading News Magazine • 5-3-16
