CID Sells Classic Accessories to Z Capital’s Twin Star

CID Sells Classic Accessories to Z Capital’s Twin Star

Over five years, CID worked with Classic to expand its products, ecommerce capabilities, and facilities

Classic's products include outdoor product covers, hammocks, umbrellas, and cushions

CID Capital has sold Classic Accessories, a designer and distributor of outdoor product covers, to Twin Star Home, a portfolio company of Z Capital.

Classic Accessories, acquired by CID in July 2016, is branded manufacturer of outdoor product covers and other outdoor furnishings including hammocks, umbrellas, and cushions. The company’s products, sold through ecommerce and traditional retailers, are used to protect and cover consumers’ outdoor equipment, including cars, RVs, motorcycles, patio furniture, grills, boats, snowmobiles, and golf carts. Classic Accessories was founded in 1983 and is headquartered south of Seattle in Kent, Washington.

During CID’s ownership term the firm expanded the company’s product assortment and ecommerce capabilities, IT systems and facilities, and completed the add-on acquisition of California-based Duck Covers, a seller of outdoor furniture covers, auto covers, and cushion covers, in May 2018.

“CID really enjoyed the partnership with Classic Accessories. Management’s talent and capabilities guided the business through a period of strong multi-channel growth resulting in the category leadership and ecommerce excellence the business enjoys today,” said Steve Cobb, the managing partner of CID. “Utilizing our decades-long experience building consumer products companies alongside talented management teams, we’re proud to have helped contribute to the growth of Classic Accessories over the last five years. From day one, we had a great appreciation for the team’s vision and their pursuit to develop Classic Accessories into the premier outdoor products provider it is today.”

Indianapolis-based CID makes majority investments in lower-middle-market companies that have revenues of at least $10 million and EBITDA of $3 million to $10 million. Sectors of interest include consumer and industrial products.

Twin Star Home is a designer, manufacturers, and e-commerce seller of decorative electric fireplaces, heaters, home furnishings (television stands, cabinets and beds) and consumer electronics (headphones, surge protectors and HDMI cables). Twin Star was founded in 1996 and is headquartered north of Boca Raton in Delray Beach, Florida. Z Capital acquired Twin Star in April 2016.

Z Capital makes control investments in middle-market distressed companies, operational turnarounds and special situations. The firm targets companies with an enterprise value of less than $1 billion or EBITDA of less than $100 million. Sectors of interest include basic materials, branded consumer, automotive parts, capital equipment and general manufacturing. Z Capital is based in the Chicago suburb of Lake Forest and has additional offices in New York.

Baird was the transaction advisor to CID on the sale of Classic Accessories.

© 2021 Private Equity Professional | July 9, 2021

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