Cherry Tree & Associates | Notable M&A Transactions, July 2022
Vista Outdoor Acquires Fox Racing for $540 million

Irvine, CA-based Fox Racing, a global brand in performance motocross, mountain bike, and lifestyle gear, announced its sale to Vista Outdoor, the parent company of 39 sporting and outdoor consumer products, for $540 million plus the potential for an additional $50 million based on Fox Racing’s financial performance. Fox Racing, which will add $350 million in revenue, will complement Vista’s existing brand portfolio and expand leadership positions in protective gear and apparel for motocross and mountain biking.

bicycleretailer.com
South Korean Apparel Group F&F Acquires Sergio Tacchini for $55 Million

F&F & Co, a South Korean apparel company, announced it had acquired Sergio Taccini, an Italian tennis brand based in the U.S. and endorsed by Pete Sampras, Novak Djokovic, and Martin Hingis, among others, for $55 million. The deal comes after F&F partnered with Centroid Investment Partners to acquire TaylorMade from Adidas last year for $1.8 billion. Sergio Tacchini will join F&F’s portfolio of brands, which includes MLB, Elle Sports and its own beauty label Banila Co.

businessoffashion.com
Brooklyn Bedding and Helix Sleep Acquire Bear Mattress

Brooklyn Bedding, manufacturer, retailer, and pioneer of the bed-in-a-box mattress, and Helix Sleep, the leading direct-to-consumer custom sleep brand in the country, (collectively, "Brooklyn-Helix") today announced the acquisition of Bear Mattress. Founded in 2015, Bear Mattress’ mattresses are specifically designed for world-class athletes, fitness enthusiasts, as well as people of all ages and lifestyles looking to recover from their daily lives faster. The acquisition of Bear Mattress follows Brooklyn Bedding and Helix Sleep's combination last year in partnership with Cerberus Capital.

prnewswire.com
JDH Capital Acquires Pure Archery Group from Norwest Equity Partners

Houston, TX-based JDH Capital announced it had acquired Pure Archery Group, a leading manufacturer of premium archery products, from Norwest Equity Partners (NEP) for an undisclosed price. Headquartered in Eugene, OR and known as Bowtech until 2020, Pure Archery Group owns and operates several leading archery brands including Bowtech, Diamond, Excalibur, Black Gold, TightSpot, RipCord, and Octane. NEP originally acquired the business in 2012.

prnewswire.com
Promise Holdings Acquires Seattle Gourmet Foods

Seattle Gourmet Foods, manufacturer of the Dilettante Chocolates brand, has been acquired by Promise Holdings LLC, which has more than 75 years of experience in the food and beverage industry. The holding firm adds the food manufacturer, which had been a family-owned business for 29 years, to its list of specialty food brands, like Big Hunk, Abba-Zaba, and the recently acquired Annabelle Candy.

specialtyfood.com
Creatd Ventures Adds Breakfast Brand Brave to Portfolio

Creatd, Inc. (Nasdaq CM: CRTD), the parent company of Creatd Ventures, today announced it entered into a non-binding Memorandum of Understanding ("MOU") to purchase a 100% ownership stake in Brave, a plant-based food company that provides convenient and healthy breakfast food products that don't compromise on taste and quality. Brave, which is based in Brooklyn and founded in 2018, sells its product (packets of overnight oats formulated with organic, plant-based seeds, nuts and fruit) online direct-to-consumer.

foodbusinessnews.net
Vista Outdoors Acquires Simms Fishing Products for $192.5 Million

Vista Outdoor Inc. (NYSE: VSTO), the parent company of 39 sporting and outdoor consumer products, announced the acquisition of Simms Fishing Products for a purchase price of $192.5 million. Based in Bozeman, MT, Simms is a premium fishing brand and leading designer, marketer and manufacturer of waders, outerwear, footwear and technical apparel and is expected to generate $110 million in sales for this year. Simms will be included in the new Outdoor Products Company, which will be also based in Bozeman, MT, upon the completion of Vista’s announced separation between the outdoor products and sporting products segment.

tcbmag.com
New Water Capital Acquires Leading Baked Goods Manufacturer Klosterman Baking

Boca Raton-based PE firm New Water Capital announced it acquired Cincinnati, OH-based Klosterman Baking Company for an undisclosed price. Founded in 1892, Klosterman is a leading producer of fresh and frozen breads, buns, and other bakery products that serves restaurants, grocery retailers, and convenience stores. The acquisition of Klosterman adds to New Water’s presence in the manufactured-foods sector, which includes frozen foods developer the Perfect Bite Co. and frozen foods manufacturer Pegasus Foods.

cspdailynews.com
Spirit of Gallo Enters the American Whiskey Category via Investment in Horse Soldier Bourbon

Spirit of Gallo, the #4 spirits supplier in the USA by volume, announced it entered the American Whiskey category by making a strategic investment in Horse Soldier Bourbon brand. Founded in 2016, Horse Soldier is available in 17 U.S. states and is currently the #8 selling Ultra-Premium Bourbon. Spirits of Gallo represents 24 brands, including New Amsterdam Vodka, E & J Brand, Pink Whitney, and the break-out, spirit-based hard seltzer High Noon.

just-drinks.com
Dunn Brothers Coffee Sold to Gala Capital

Gala Capital Partners, a Costa Mesa-based investment firm that funds Mooyah Burgers and Cici's Pizza, announced it acquired Minnesota-based Dunn Brothers Coffee for an undisclosed price. Dunn Brothers has 59 franchised locations in 7 states (MN, WI, ND, SD, IA, TX and MO) and celebrated its 35th anniversary this year.

dailycoffeenews.com
Cincy Brands Acquires Vitabox, Online Seller of Everyday Essential Products

Cincy Brands, a technology-driven consumer products company that acquires and accelerates better-for-you brands, acquired Vitabox, an online seller of over 70,000 everyday essential products, for an undisclosed price. Vitabox was founded in 2019 to make shopping for everyday essentials, including vitamins, personal care products and pet supplies, more convenient and rewarding. This marks the first acquisition of Cincy Brands since launching in February 2022 by ex-Proctor & Gamble and agency leaders.

cincybrands.com
CHERRY TREE CONSUMER 250 INDEX PERFORMANCE
CHERRY TREE CONSUMER 250 INDEX METRICS BY SUB-SECTOR

For a confidential discussion about your company's strategic alternatives for exiting, merging, acquiring, or obtaining venture / growth financing, and how trends in the consumer sector affect your prospects, please contact Merritt Jackley.

Prepared by:
Merritt Jackley, Director

Phone: 952.253.6015


Cherry Tree & Associates is a private investment banking firm headquartered in Minneapolis. Our firm specializes in serving middle market companies and their owners, whether private, public, or divisions of larger corporations.
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