TZP Group has made an investment in Family Entertainment Group, an outsourced operator of family entertainment and amusement facilities.
Family Entertainment Group (FEG) is an outsourced designer, developer, and operator of family-oriented amusement facilities. The company’s services range from game brokerage and facility design to fully outsourced facility management. FEG manages and operates amusement facilities for family-oriented resorts, family entertainment centers, movie theatres, bowling centers, and restaurants. The company is led by George Smith, President and Chief Executive Officer. FEG was founded in 2003 and is headquartered in the Chicago suburb of Barrington, IL (www.fegllc.com).
“FEG’s breadth and depth of services provides a compelling value proposition to the broader amusement and family entertainment center industries,” said TZP Growth Partner, Rodney Eshelman. “We are thrilled to partner with George Smith and the management team to continue to build the business by driving new customer acquisition, penetrating new markets, and pursuing synergistic acquisitions.”
TZP Group makes investments of between $20 million and $100 million in companies with enterprise values between $50 million and $250 million. The firm has assets under management of more than $600 million. Sectors of interest include franchising, outsourced business and IT services, marketing and media services, travel and hospitality services, real estate services and specialty finance. TZP was founded in 2007 and is led by Sam Katz, its Managing Partner. The firm is headquartered in New York (www.tzpgroup.com).
Balance Point Capital Partners provided mezzanine financing and made an equity co-investment in this transaction alongside TZP Group. “We were able to differentiate ourselves in this transaction by providing a creative solution for TZP while at the same time customizing capital for FEG. We look forward to supporting TZP and the FEG management team as they continue to grow in existing amusement markets and new ones as well,” said Justin Kaplan, a Partner with Balance Point.
Balance Point invests from $5 million to $20 million of mezzanine and equity in lower middle market companies that have revenues of $10 million to $150 million and EBITDAs between $2 million and $25 million. Sectors of interest include business services, niche manufacturing, consumer & industrial, branded products, aerospace & defense, healthcare, and technology. Balance Point was founded in 1988 and is based in Westport, CT (www.balancepointcapital.com).
© 2015 PEPD • Private Equity’s Leading News Magazine • 6-12-15
