Guardian Capital Partners has acquired the assets of Rose America Corp (DBA Hyper Pet). Hyper Pet is a designer, manufacturer and marketer of dog toys, pet collars and leashes, and other pet products.
Hyper Pet’s products include toys, training aides, ball launchers, sports balls, retractable leashes, doggie bags, tweeter balls, tire tossers, throwers, ropes, and tire treads. Customers include, among others, PetSmart, Petco, Bass Pro Shop, Cabelas, Menards, and Wal-Mart. Company owned brand names include Hyper Pet and PetWear. The company also produces products under licensed and private label brands. Hyper Pet is led by its CEO Randy Woods and operates a 100,000 sq. ft. warehouse and distribution facility at its headquarters in Wichita. Hyper Pet was founded by the Hanna family in 1983 and has about 40 employees (www.hyper-pet.com).
“Hyper Pet is a category leading innovator in the pet products space. We look forward to partnering with the entire Hyper Pet executive management team and bringing the necessary resources, guidance and governance to further develop and accelerate the company’s growth strategy,” said Peter Haabestad, Co-Founder and Managing Partner of Guardian Capital Partners, who led the transaction for Guardian.
“We have had a successful 33 year run under the prior family-owned structure of the company,” said Mr. Woods. “We are thrilled to partner with Guardian Capital Partners and to embark on the next chapter of growth for the benefit of the company and our valued consumers.”
Guardian Capital Partners makes control investments in lower middle market private companies located primarily in the United States that have annual revenues between $20 million and $100 million. Sectors of interest include consumer products, niche manufacturing and specialty business services. The firm is based in Wayne, PA, a suburb of Philadelphia (www.Guardiancp.com).
According to Guardian, the pet products sector has grown to $61 billion in sales 2015 with a 4.5% CAGR over the last five years and is comprised of approximately 85 million pet owners in the US alone.
“The ever-growing pet industry is in need of novel, innovative products that allow pet owners to interact in a meaningful way with their pets and Hyper Pet is well positioned to capitalize on this opportunity by expanding its product development pipeline, product breadth and channel partners,” said Chad Clark, a Vice President at Guardian.
DLA Piper (www.dlapiper.com) provided legal services and Marcum (www.marcumllp.com) provided accounting and tax diligence services to Guardian. PNC Bank (www.pnc.com) provided a senior loan facility and Centerfield Capital Partners (www.centerfieldcapital.com) provided subordinated debt and equity for the transaction.
© 2016 Private Equity Professional • Private equity’s news leader • 1-22-16