Multichannel Merchant quotes Chris Kampe, Tully & Holland's Retail Group Managing Director, regarding Brentwood Associates' Acquisition of Sundance Catalog.
July 9, 2012 - Brentwood Associates acquired a majority stake in Sundance Catalog from ACI Capital, Webster Capital and Robert Redford, Sundance Catalog's founder. Terms of the deal were not disclosed. According to Chris Kampe, Tully & Holland's Retail Group Managing Director, the transaction was valued between $100 million and $150 million. Investors received a 6-time return on their investment of capital while Sundance's EBITDA is about $14 million on annual sales of more than $100 million.
Chris said Sundance Catalog was attractive to Brentwood Associates because it met Brentwood's acquisition criteria as a direct-to-consumer sector, a recognized consumer brand and with EBITDA greater than $5 million.
According to Brentwood Associates Partner, Eric Reiter, Brentwood plans to build on Sundance's successful multichannel distribution and expand its product offerings. Growth is expected to come from incremental catalog and ecommerce investment, expansion of existing categories and evaluation of new product categories such as activewear, resortwear, and men's wear, and through retail expansion. Sundance's current president and CEO, Matey Erdos will remain in his position at Sundance Catalog.