Gryphon Investors has entered into an agreement to sell its portfolio company Sheplers, a seller of western wear, to Boot Barn. Gryphon Investors acquired Sheplers in 2007.
Sheplers is an omni-channel retailer of western wear with 25 retail locations across the Midwest, Southwest and Western regions of the United States. The company offers a full line of men’s, women’s and children’s western boots, jeans, apparel, décor gifts and accessories. Sheplers was founded in 1899 and is headquartered in Wichita, KS (www.Sheplers.com).
During the course of Gryphon’s ownership, Sheplers hired Bob Myers as CEO in early 2010. Mr. Myers, COO Mark Hampton, and the rest of the senior management team, with the help of Gryphon’s financial and operational resources, opened 13 new stores, implemented a new website, developed a virtual inventory concept and focused on building a state-of-the-art e-commerce business that is driving the company’s growth. “Gryphon has been an exceptionally supportive partner, delivering invaluable strategic, operational and financial guidance as we have built Sheplers into a powerful domestic and international destination for all things Western,” said Mr. Myers.
“Gryphon’s successful investment in Sheplers underscores our commitment to building leading businesses in partnership with distinguished executives such as Bob Myers and Mark Hampton. We have greatly enjoyed working with the entire senior management team and we thank them for their leadership,” said Gryphon Operating Partner Dennis O’Brien.
Gryphon Investors makes leveraged acquisitions and growth investments in middle-market companies. The firm invests from $35 million to $100 million of capital in companies with sales ranging from $50 million to $400 million. Sectors of interest include business services, consumer and retail, automotive, chemical, general manufacturing, health care and hotels. Gryphon Investors is based in San Francisco (www.gryphoninvestors.com).
“We are delighted to have executed on our original vision of building a truly premier Western lifestyle and enthusiast brand, one which has incorporated the power of e-commerce to expand beyond its traditional catalog and bricks and mortar roots into a unique omni-channel specialty retailer.” said David Andrews, Gryphon’s CEO and Managing Partner. “Gryphon achieved our goal of completing a sale that positions Sheplers for continued success, while also generating attractive returns for our limited partners and co-investors,”
Boot Barn Holdings (NYSE:BOOT) operates specialty retail stores and web sites that sell men’s, women’s and children’s western and work-related footwear, apparel, and accessories. The company offers boots, denim, western shirts, cowboy hats, belts and belt buckles, western-style jewelry, rugged footwear, outerwear, overalls, safety-toe boots, and flame-resistant and high-visibility clothing. The company is headquartered in Irvine, CA (www.bootbarn.com).
Lazard Middle Market acted as advisor to Gryphon, and Kirkland & Ellis served as company counsel on the transaction.
2015 PEPD • Private Equity’s Leading News Magazine • 6-2-15