Swander Pace Capital has sold Lavo, a manufacturer and marketer of laundry detergent, household cleaners, fabric softeners and bleach, to KIK Custom Products, a portfolio company of Centerbridge Partners since July 2015.
Swander Pace acquired Lavo in July 2008 and today, according to the firm, Lavo is the leading independent manufacturer and marketer of laundry and cleaning products in Canada. Products include bleaches, liquid detergents, liquid fabric softeners, fabric softener sheets, all-purpose cleaners, glass and surface cleaners, cream cleansers, and powder cleansers. Lavo sells its products through grocery stores, pharmacies, mass retailers, and warehouse clubs. Company owned brand names include La Parisienne, Hertel, Springtime, Old Dutch, Arctic Power, and ABC. Lavo also offers private label laundry products and sells bulk bleach to the industrial sector. The company has approximately 425 employees and has a 135,000 square-foot manufacturing facility in Montreal which is also the company’s headquarters (www.lavo.ca).
“The strong heritage of these brands and world class capabilities served as the foundation of our growth strategy,” said Roger Dickhout, Chief Executive Officer of Lavo. “Our ability to leverage best practices from other Swander Pace companies, continue to build the company’s core competencies, capitalize on growth opportunities, and successfully integrate the Arctic Power and ABC brand acquisitions were critical drivers of value creation. We are pleased that KIK can help create future opportunities for the company.”
KIK Custom Products is a contract and private label manufacturer of consumer products in the laundry, household cleaners, personal care, automotive, spa and pool, and over-the-counter medicated and pharmaceutical categories. The company is based north of Toronto in Concord, Ontario (www.kikcorp.com).
“We are grateful to the Lavo team and all of our employees for their hard work and contributions during our ownership,” said Andrew Richards, Managing Director of Swander Pace. “We look forward to watching the team continue to grow and flourish as part of the KIK organization.”
Swander Pace invests in middle-market consumer products companies including branded and non-branded manufacturers, marketers, and distributors that sell through a range of retail and institutional channels. The firm generally targets companies that have up to $500 million in revenues. Swander Pace has raised over $1.3 billion of equity capital through five private equity funds and has led investments in more than 45 consumer products companies. Swander Pace was founded in 1996 and has offices in San Francisco; Bedminster, NJ; and near Toronto in Burlington, ON (www.spcap.com).
Centerbridge Partners invests from $50 million to $300 million in US based leveraged buyouts and distressed securities. The firm has $25 billion of capital under management and is headquartered in New York with an additional office in London (www.centerbridge.com).
Sawaya Segalas & Co. (www.sawayasegalas.com) was the financial advisor to Lavo and Swander Pace Capital.
© 2017 Private Equity Professional | July 7, 2017
