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Market MonitorFALL 2019
2
Select Outdoor & Recreation Tombstones
3
Outdoor Recreation Industry GrowthMacroeconomic TrendsIndustry Update
• U.S. unemployment remained at 3.7% in August 2019, unchanged from theprevious month’s 49-year low and matching market expectations.Furthermore, Consumer Confidence has remained at elevated levelsdespite increasing volatility throughout 2019. Many economists arepointing towards the trade war with China as a primary driver of thevolatility of Consumer Confidence.
• The Outdoor Industry Association (“OIA”) found that outdoor companiesand consumers paid an additional $1.1 billion from September 2018 toApril 2019 due to new tariffs implemented on outdoor products in the US-China trade war. The OIA also found that additional threatened tariffscould cost upwards of $1.5 billion every month. However, negotiations areongoing and as of late September, additional tariffs have been delayeduntil December 15th, 2019 in order to provide relief to retailers for theholiday season.
• According to a 2019 CGS Survey, more than two-thirds of consumersconsider sustainability when making a purchase and are willing to paymore for sustainable products and companies are taking notice. Forexample, Adidas is collaborating with Parley for the Oceans, anenvironmental organization, to make a co-branded line entirely out ofplastic waste from the ocean.
• Multi-use, outdoor products such as travel bags and chairs are becomingstaples at music festivals. According to Billboard, 32 million people attendat least one music festival every year in the U.S., providing a growing,alternative market to outdoor equipment companies. Hard goodcompanies are venturing into soft goods via acquisitions, such asCallaway’s acquisition of Jack Wolfskin.
Source: U.S. Department of Commerce, S&P CapitalIQ, The Outdoor Foundation, Conference Board
U.S. Sports & Outdoor Segment Revenue
Source: tradingeconomics, globalnewswire, Allied Market Research, Outdoor Industry Association, CGS, the trek, Billboard
135.1
3.7%
-1.0%2.0%3.0%4.0%5.0%6.0%7.0%
- 20 40 60 80
100 120 140 160
Aug-14 Aug-15 Aug-16 Aug-17 Aug-18 Aug-19
Consumer Confidence (CCI) Unemployment Rate
$411 $439
$471 $504
$540 $578
$619
-
$100
$200
$300
$400
$500
$600
$700
2017A 2018E 2019P 2020P 2021P 2022P 2023P
$ in
bill
ions
4
Public Company Valuations
Source: CapitalIQ, company filings.
Note: Not meaningful (NM) if EV/Sales is greater than 10x or EV/EBITDA is greater than 40x. NA if denominator is 0, for percentages and multiples, or if estimates are not available. NTM figures are based on the median estimate of Wall St. analysts.
$ in millions, except per share data 9/17/19 TTM Data EV Multiple
Company NameSharePrice
52 WeekHigh - Low
MarketCap
EnterpriseValue Sales EBITDA
EBITDAMargin Sales EBITDA
TTMSales
TTMEBITDA
NTMSales
NTMEBITDA
Active Footwear
NIKE, Inc. $87.59 $90.00 - $66.53 $137,244 $136,060 $39,117 $5,492 14.0% 7.7% 12.7% 3.48x 24.8x 3.23x 22.0x
adidas AG 299.67 $329.41 - $197.13 58,637 61,400 25,601 3,784 14.8% 4.8% 4.9% 2.40x 16.2x 2.29x 15.5x
Under Armour, Inc. 19.02 $24.55 - $15.05 9,019 9,873 5,229 396 7.6% 5.2% 13.4% 1.89x 24.9x 1.79x 22.0x
Deckers Outdoor Corporation 143.01 $180.76 - $101.69 4,130 3,914 2,047 380 18.6% 5.0% (2.3%) 1.91x 10.3x 1.82x 10.6x
ASICS Corporation 15.42 $16.32 - $10.34 2,881 3,115 3,536 207 5.9% 3.6% 8.5% 0.88x 15.0x 0.85x 13.8x
Wolverine World Wide, Inc. 29.03 $39.77 - $23.05 2,475 3,358 2,230 256 11.5% 4.5% 24.6% 1.51x 13.1x 1.44x 10.5x
Rocky Brands, Inc. 31.91 $32.76 - $22.44 236 222 261 24 9.2% 2.0% 10.8% 0.85x 9.2x 0.83x 8.3x
Median $4,130 $3,914 $3,536 $380 11.5% 4.8% 10.8% 1.89x 15.0x 1.79x 13.8x
Average $30,660 $31,134 $11,146 $1,506 11.6% 4.7% 10.4% 1.84x 16.2x 1.75x 14.7x
Active Apparel
Kering SA $509.84 $596.79 - $388.83 $63,739 $70,564 $16,923 $5,596 33.1% 6.9% 12.8% 4.17x 12.6x 3.90x 11.2x
V.F. Corporation 87.92 $96.20 - $67.18 35,008 37,972 13,983 2,358 16.9% (14.0%) (16.6%) 2.72x 16.1x 3.16x 19.3x
Lululemon Athletica Inc. 195.47 $204.44 - $110.71 25,465 25,540 3,581 897 25.1% 14.9% 16.8% 7.13x 28.5x 6.21x 24.4x
Gildan Activewear Inc. 36.88 $40.23 - $27.63 7,512 8,501 2,923 552 18.9% 7.6% 22.1% 2.91x 15.4x 2.70x 12.6x
Li Ning Company Limited 2.88 $3.15 - $0.81 6,640 6,058 1,755 221 12.6% 16.9% 38.7% 3.45x 27.5x 2.95x 19.8x
Columbia Sportswear Company 98.05 $109.74 - $80.03 6,624 6,506 2,894 471 16.3% 7.8% 4.5% 2.25x 13.8x 2.09x 13.2x
Youngone Corporation 29.31 $35.84 - $25.65 1,286 1,661 1,926 246 12.8% 5.4% 16.6% 0.86x 6.7x 0.82x 5.8x
Descente Ltd. 13.86 $27.88 - $12.67 1,045 879 1,310 105 8.0% NA NA 0.67x 8.4x NA NA
361 Degrees International Limited 0.20 $0.26 - $0.15 404 (68) 787 118 15.0% 3.3% 24.1% (0.09x) (0.6x) (0.08x) (0.5x)
Calida Holding AG 29.80 $35.44 - $26.99 246 327 422 30 7.1% (1.5%) 6.5% 0.77x 10.9x 0.79x 10.2x
Sequential Brands Group, Inc. 0.28 $2.28 - $0.25 18 584 159 77 48.4% (31.9%) (8.3%) 3.66x 7.6x 5.38x 8.3x
Median $6,624 $6,058 $1,926 $246 16.3% 6.1% 14.7% 2.72x 12.6x 2.83x 11.9x
Average $13,453 $14,411 $4,242 $970 19.5% 1.5% 11.7% 2.59x 13.4x 2.79x 12.4x
NTM Est. Growth
5
Public Company Valuations
Source: CapitalIQ, company filings.
Note: Not meaningful (NM) if EV/Sales is greater than 10x or EV/EBITDA is greater than 40x. NA if denominator is 0, for percentages and multiples, or if estimates are not available. NTM figures are based on the median estimate of Wall St. analysts.
$ in millions, except per share data 9/17/19 TTM Data EV Multiple
Company NameSharePrice
52 WeekHigh - Low
MarketCap
EnterpriseValue Sales EBITDA
EBITDAMargin Sales EBITDA
TTMSales
TTMEBITDA
NTMSales
NTMEBITDA
Outdoor Equipment
Garmin Ltd. $85.21 $89.72 - $59.98 $16,199 $15,199 $3,463 $925 26.7% 6.8% 4.8% 4.39x 16.4x 4.11x 15.7x
Shimano Inc. 150.16 $174.20 - $133.05 13,920 11,643 3,296 769 23.3% 3.0% 10.6% 3.53x 15.1x 3.43x 13.7x
Goldwin Inc. $160.24 $168.93 - $64.63 $3,627 $3,593 $818 $131 16.0% 12.2% 13.9% 4.39x 27.4x 3.92x 24.1x
YETI Holdings, Inc. 29.50 $38.11 - $12.40 2,504 2,771 824 147 17.9% 13.2% 28.4% 3.36x 18.8x 2.97x 14.7x
Thule Group AB (publ) 21.07 $24.69 - $14.45 2,175 2,426 739 143 19.4% 3.3% 13.2% 3.28x 16.9x 3.18x 15.0x
Callaway Golf Company 19.37 $24.67 - $14.44 1,823 2,564 1,406 131 9.3% 23.3% 72.8% 1.82x 19.6x 1.48x 11.3x
Sturm, Ruger & Company, Inc. 43.37 $70.00 - $39.31 758 629 446 84 18.9% NA NA 1.41x 7.5x NA NA
Accell Group N.V. 25.32 $28.97 - $16.61 679 929 1,299 58 4.5% (1.5%) 22.7% 0.72x 15.9x 0.73x 13.0x
GoPro, Inc. 4.57 $7.65 - $3.62 662 750 1,198 17 1.4% 5.9% 484.8% 0.63x 44.1x 0.59x 7.5x
Vista Outdoor Inc. 6.44 $18.18 - $4.30 372 1,188 1,989 88 4.4% (9.1%) 22.0% 0.60x 13.4x 0.66x 11.0x
American Outdoor Brands Corporation 6.38 $15.95 - $5.67 350 551 623 90 14.5% 3.0% 25.5% 0.88x 6.1x 0.86x 4.9x
Clarus Corporation 11.68 $15.10 - $8.56 350 367 221 21 9.3% 8.7% 37.5% 1.66x 17.8x 1.52x 13.0x
Globeride, Inc. 26.59 $33.93 - $19.57 305 501 818 62 7.5% 7.2% 3.0% 0.61x 8.1x 0.57x 7.9x
HL Corp (Shenzhen) 0.73 $0.88 - $0.45 271 327 239 15 6.3% NA NA 1.37x 21.7x NA NA
Snow Peak, Inc. 12.08 $17.57 - $10.07 194 208 120 14 11.4% NA NA 1.73x 15.2x NA NA
Escalade, Incorporated 10.93 $13.30 - $9.65 158 162 183 17 9.3% NA NA 0.89x 9.6x NA NA
Rapala VMC Corporation 3.28 $3.96 - $3.03 126 247 297 22 7.2% (2.4%) 53.4% 0.83x 11.5x 0.85x 7.5x
Nautilus, Inc. 1.42 $14.60 - $1.21 42 79 350 (3) NA (0.9%) NM 0.23x NA 0.23x 20.8x
Median $517 $690 $779 $73 9.3% 4.6% 22.7% 1.39x 15.9x 1.17x 13.0x
Average $2,473 $2,452 $1,018 $152 12.2% 5.2% 61.0% 1.80x 16.8x 1.79x 12.8x
NTM Est. Growth
6
Public Company Valuations
Source: CapitalIQ, company filings.
Note: Not meaningful (NM) if EV/Sales is greater than 10x or EV/EBITDA is greater than 40x. NA if denominator is 0, for percentages and multiples, or if estimates are not available. NTM figures are based on the median estimate of Wall St. analysts.
$ in millions, except per share data 9/17/19 TTM Data EV Multiple
Company NameSharePrice
52 WeekHigh - Low
MarketCap
EnterpriseValue Sales EBITDA
EBITDAMargin Sales EBITDA
TTMSales
TTMEBITDA
NTMSales
NTMEBITDA
Outdoor Vehicles
Polaris Inc. $90.79 $110.70 - $70.27 $5,549 $7,471 $6,637 $726 10.9% 5.2% 14.5% 1.13x 10.3x 1.07x 9.0x
Brunswick Corporation 53.98 $69.82 - $41.02 4,627 5,336 5,258 719 13.7% (20.6%) (4.1%) 1.01x 7.4x 1.28x 7.7x
BRP Inc. 39.33 $46.90 - $24.41 3,546 4,736 4,332 519 12.0% 3.6% 22.2% 1.09x 9.1x 1.06x 7.5x
Malibu Boats, Inc. 31.06 $56.27 - $24.79 648 740 684 123 18.0% 6.7% 7.9% 1.08x 6.0x 1.01x 5.6x
Johnson Outdoors Inc. 59.45 $100.42 - $54.12 593 444 550 70 12.7% 1.3% 3.0% 0.81x 6.3x 0.80x 6.2x
Marine Products Corporation 15.14 $24.67 - $12.48 515 503 306 37 12.2% 8.2% 12.5% 1.64x 13.4x 1.52x 11.9x
MasterCraft Boat Holdings, Inc. 14.83 $39.50 - $13.33 279 386 466 74 15.8% (2.7%) (0.5%) 0.83x 5.2x 0.85x 5.3x
Median $648 $740 $684 $123 12.7% 3.6% 7.9% 1.08x 7.4x 1.06x 7.5x
Average $2,251 $2,802 $2,605 $324 13.6% 0.3% 7.9% 1.09x 8.3x 1.08x 7.6x
Active & Outdoor Retail
Foot Locker, Inc. $40.24 $68.00 - $33.12 $4,307 $6,738 $7,984 $885 11.1% 2.2% 3.4% 0.84x 7.6x 0.83x 7.4x
DICK'S Sporting Goods, Inc. 38.49 $41.21 - $29.69 3,479 6,819 8,529 679 8.0% 2.4% (2.0%) 0.80x 10.0x 0.78x 10.2x
Zumiez Inc. 31.88 $33.47 - $17.57 821 985 995 96 9.7% 4.5% 2.7% 0.99x 10.2x 0.95x 10.0x
Big 5 Sporting Goods Corporation 2.04 $5.48 - $1.57 43 380 1,000 22 2.2% NA NA 0.38x 17.4x NA NA
Median $2,150 $3,862 $4,492 $388 8.8% 2.4% 2.7% 0.82x 10.1x 0.83x 10.0x
Average $2,163 $3,730 $4,627 $421 7.7% 3.0% 1.3% 0.75x 11.3x 0.85x 9.2x
NTM Est. Growth
7
Outdoor Equipment and Footwear Valuations Lead the Industry• Median Sales and EBITDA growth are projected to be 4.2% and
10.2%, respectively, for select Outdoor & Recreation companies(slides 4-6); this represents an increase of 1.4% and a decrease of2.4%, respectively, as compared to December of 2018.
• Comparatively, the S&P 500 is expected to see Sales growth of 5.1%and EBITDA growth of 11.9%, over the next 12 months, a decrease of2.0% and 1.5%, respectively, as compared to December 2018.
• The Sports Equipment & Apparel and Outdoor Equipmentindustries are receiving the highest EV/EBITDA multiples in thesector given their explosive growth and successful digestion ofrecent acquisitions.
• The median TTM EV/EBITDA multiple for Outdoor & Recreationcompanies has risen precipitously since December 2018, growing22.5% over the last eight months, reaching record levels, while theS&P 500 multiple has grown 7.0% during that same time period.
Source: CapitalIQ.Note: Outdoor and Recreation Companies are composed of the public companies included on slide 4-6.
Public Market ValuationsNext 12 Months: Estimated Growth
2x
4x
6x
8x
10x
12x
14x
16x
18x
20x
22x
Sep-
14
Mar
-15
Sep-
15
Mar
-16
Sep-
16
Mar
-17
Sep-
17
Mar
-18
Sep-
18
Mar
-19
Sep-
19
Ente
rpri
se V
alue
/LTM
EBI
TDA
Active Footwear15.7x
Outdoor Equipment15.2x
S&P 500 Index12.8x
Outdoor Vehicles7.1x
Active Apparel13.1x
Active & OutdoorRetail 9.9x
11.9%
2.7%
7.9%
22.7%
14.7%
10.8%
5.1%
2.4%
3.6%
4.6%
6.1%
4.8%
S&P 500
Active & Outdoor Retail
Outdoor Vehicles
Outdoor Equipment
Active Apparel
Active Footwear
Sales Growth EBITDA Growth
8
Select, Notable M&A Activity with Disclosed Values
Source: CapitalIQ, PitchBook, company filings, news releases.* Forward Full-Year 2017 data
$ in millions
Close EV/ EV/Date Target Acquirer/Investor Target Description Implied EV Revenue EBITDA
Aug-19 Accell North America, Inc. Regent, L.P. Designs, produces, and sells bicycles and fitness equipment $15.0 - -
Jun-19 Fitness Business of Brunswick Corporation KPS Capital Partners, LP Manufactures commercial fitness equipment $490.0 - -
Mar-19 Amer Sports Corporation Tencent Holdings Limited; ANTA Sports Products Limited Designs, manufactures, and distributes sports equipment $6,291.6 2.1x 19.2x
Feb-19 Hat World, Inc. and Certain assets of GCO Canada and Flagg Bros. Ames Watson Capital LLC Retailer specializing in athletic headwear $101.0 - -
Jan-19 JACK WOLFSKIN Callaway Golf Company Manufactures and sells functional outdoor clothing and equipment $473.3 1.3x 11.9x
Dec-18 Tepui Outdoors, Inc. Thule Group AB (publ) Manufactures roof top tents for vehicles $9.5 - -
Dec-18 Pure Fishing, Inc. Sycamore Partners Manufactures outdoor and recreational lifestyle products $1,300.0 2.3x -
Nov-18 Baffin, Inc. Canada Goose Holdings Inc. Manufactures outdoor footwear $24.8 - -
Oct-18 South Cone, Inc. The Relay Shoe Company Manufactures sandals $139.0 0.9x
Oct-18 Perry Ellis International, Inc. Private Investor Sources, markets, and licenses sportswear apparel $486.2 0.6x 8.7x
Oct-18 Luxottica Group S.p.A. Essilor International Société Anonyme Performance apparel manufacturer $25,423.7 2.6x 12.3x
Sep-18 Ravin Crossbows, LLC Velocity Outdoor, Inc. Manufactures crossbows and accessories $123.0 2.7x -
Aug-18 Bolle Inc./Serengeti Eyewear, Inc./ Bushnell Outdoor Products Japan Private Investor Japanese subsidiary that manufactures sunglasses and helmets $158.0 - -
Jul-18 Boat Holdings, LLC Polaris Sales Inc. Manufactures pontoon, deck, and cruiser boats $825.0 1.5x 11.0x
Jun-18 The Finish Line, Inc. JD Sports Fashion plc Retails athletic shoes, apparel, and accessories $464.4 0.3x 5.8x
Jun-18 Rawlings Sporting Goods Company, Inc. Seidler Equity Partners; Major League Baseball Enterprises, Inc. Manufactures and markets sporting goods $395.0 1.2x -
Apr-18 Oboz Footwear, LLC Kathmandu Holdings Limited Manufactures outdoor footwear for men and women $75.0 2.5x 16.3x
Apr-18 Billabong International Limited Boardriders, Inc. Markets and distributes apparel for board sports $266.0 0.4x 7.1x
Dec-17 Dunlop Sports Co. Ltd. Sumitomo Rubber Industries, Ltd. Sporting goods manufacturer $423.5 0.6x 7.5x
Oct-17 Nautic Star, Llc MCBC Holdings, Inc. (nka:MasterCraft Boat Holdings, Inc.) Boat manufacturer $79.8 1.3x -
Oct-17 Shortbark Industries, LLC Point Blank Enterprises, Inc. Tactical gear and apparel manufacturer $3.4 - -
Oct-17 Taylor Made Golf Company, Inc. KPS Capital Partners Golf equipment manufacturer $425.0 0.5x -
Sep-17 Sport Maska Inc. Birch Hill Equity Partners Management Inc. Hockey equipment manufacturer $110.0 - -
Aug-17 travisMathew, LLC Callaway Golf Company Lifestyle and sports apparel $125.5 2.5x 13.8x
Jul-17 Sebago USA, LLC TOS S.r.l. Outdoor footwear manufacturer $14.3 - -
Jul-17 Globe Manufacturing Company, LLC MSA Worldwide, LLC Firefighter gear manufacturer $215.0 2.0x -
Jul-17 Newell Brands Inc., Winter Sports Business Kohlberg & Company, L.L.C. Winter sports equipment $240.0 0.7x 9.6x
Jun-17 Maruman & Co., Ltd. (nka:MAJESTY GOLF Co., Ltd.) Mozart Advisors Korea Limited Golf equipment manufacturer $21.3 0.3x 5.0x
Jun-17 Ironclad Performance Wear Corporation Safety Supply Corp. Gloves for construction and sporting goods $28.7 1.2x -
Jun-17 Crosman Corporation Compass Diversified Holdings LLC Air gun manufacturer $151.5 1.3x 7.6x
May-17 Gander Outdoors Camping World Holdings, Inc. Outdoor apparel and equipment retailer $34.1 - -
Median $151.5 1.3x 9.6x
9
Select, Recent M&A Activity without Disclosed Value
Source: CapitalIQ, PitchBook, company filings, news releases.
$ in millions
Close Date Target Acquirer/Investor Target DescriptionSep-19 CWGS Enterprises, LLC RV Retailer, LLC Supplies RV accessories and camping equipment
Sep-19 Spy Optic Inc. BOLLÉ BRANDS SAS Offers optical frames and sunglasses, safety spectacles, sports frames
Jul-19 Assets of THLETE Outdoors, LLC Ares Outdoors Supplies apparel and accessories for hunting
Jul-19 Mavic SAS Regent, L.P. Manufactures and markets bike parts, helmets, apparel and accessories
Jun-19 Evolv Sports & Designs Co. OBERALP S.p.A. Manufactures performance climbing and outdoor footwear products
Jun-19 Mustang Survival Corp. The WING Group Designs and manufactures marine safety and climate protection products
Jun-19 Do Outdoors, LLC BDT Capital Partners, LLC Designs and manufactures fishing equipment
May-19 TruBlue LLC Pike Street Capital LLC Manufactures climbing equipment
May-19 6 Pack Fitness, Inc. Zogoworkx LLC Manufactures bags, luggage, and meal management travel gear
May-19 Environmental Sports Products, LLC Jelmar, LLC Manufactures and distributes sports cleaner products
May-19 STAC Performance 4iiii Innovations Inc. Builds indoor cycling training products
May-19 Becker Arena Products, Inc. Athletica Sport Systems Inc. Manufactures rink equipment components
May-19 Peaks Apparel, LLC Xceed México S.A. de C.V. Manufactures and designs active wear
Apr-19 PowerTap Line of Bicycle Power Meters of Saris Cycling Group, Inc. SRAM LLC Manufactures bicycle components
Apr-19 VOLCOM, Inc. Authentic Brands Group LLC Manufactures branded active lifestyle apparel
Mar-19 Sugar Wheel Works, LLC Breadwinner Cycles, Inc. Manufactures bicycle wheels
Feb-19 Challenger Sports Teamwear, LLC/Challenger Sports Corp. TopYa! Inc. Manufactures and sells soccer uniforms and equipment
Feb-19 All Ball Pro Gladiator Lacrosse LLC Manufactures and sells sports equipment for ball sports
Jan-19 Tedder Industries, LLC Main Street Capital Corporation Manufactures gun holsters
Dec-18 KIALOA Canoe Paddles, Inc. Werner Paddles, Inc. Products SUP and outrigger boat paddles
Dec-18 Gill Marine Holdings Limited Pop Capital; Myers Family Office Designs and manufactures technical sailing apparel
Dec-18 Clean Designs, LLC Split Peak LLC Designs and manufactures plastic and stainless steel water bottles
Dec-18 Operating Assets of Dakine Marquee Brands LLC; JR286, Inc Manufactures sports equipment
Nov-18 Victory Tailgate, LLC Indian Industries, Inc. Manufactures and sells tailgating and backyard games
Nov-18 Fun Spot Manufacturing, LLC Abéo SA Manufactures sports and leisure products
Oct-18 Schutz Brothers, Inc. Professional's Choice Sports Medicine Products, Inc. Manufactures horse equipment
Oct-18 Creative Urethanes, Inc. Mearthane Products Corporation Manufactures roller skate and skateboard wheels
Oct-18 Reynolds Cycling, L.L.C HB Performance Systems, Inc. Manufactures bicycle wheels
Oct-18 Big Time Products, LLC The Hillman Group, Inc. Manufactures work gear products
Sep-18 Teamwork Athletic Apparel, Inc. Founder Sport Group Manufactures sports teams uniforms and activewear
Oct-18 Woolrich, Inc. Goldwin Inc.; L-Gam Advisors Sarl Manufactures and sells outdoor clothing and furniture
Sep-18 Teamwork Athletic Apparel, Inc. Founder Sport Group Manufactures sports team uniforms, activewear, and fan gear
10
Overview of Select, Notable Transactions
M&A activity in YTD 2019 is down 32.7% as compared to YTD July2018. This declining trend is likely due to buyers becoming moreselective on targets that they pursue, especially with today’s elevatedEBITDA multiples.
U.S. Outdoor Recreation & Equipment M&A1
Source: CapitalIQ, company filings, news releases. 1) Includes closed transactions in the U.S. and Canada.
• Authentic Brands Group (“ABG”) acquired the intellectual property of Volcom, Inc. fromKering S.A. for an undisclosed amount.
• Volcom will operate as Liberated Brands, a newly-formed operating company, in whichABG will hold a minority stake, with the remaining Volcom management team holdingthe majority stake; Volcom management will continue to control day-to-day operationswhile ABG focuses on brand awareness. ABG will hold all of Volcom’s intellectualproperty.
• Nick Woodhouse, president and CMO of ABG, believes that “ABG's brand buildingknow-how and a global network of best-in-class partners” will allow Volcom to fulfilltheir stated strategy of launching digital campaigns tailored to millennial and Gen Zaudiences through partnerships with social media influencers.
acquired
acquired May 2019
• Private equity firm KPS Capital Partners, LP (“KPS”) acquired Brunswick Corporation’s(NYSE:BC) fitness brand, Life Fitness, for $490 million in cash.
• Life Fitness manufactures and sells strength and cardiovascular equipment along withbilliards tables under the brand names: Life Fitness, Hammer Strength, Cybex, IndoorCycling Group, Scifit and Brunswick Billiards.
• The divesture will allow Brunswick to focus on the development of its $4 billion globalmarine portfolio, which includes propulsion, boats, parts & accessories and services.
• Jason Worthy, President of Life Fitness stated, “We will work closely with KPS todevelop and execute a focused strategic plan centered around our mission to inspirehealthier lives. We will build upon our long and successful history of productdevelopment and technology leadership with the goal of providing the highest-qualitysolutions and services for a broad range of fitness facilities and fitness consumers.”
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Our Global Reach, Through Local Relationships
Mazars Africa40 offices
Mazars Asia25 offices
Mazars Middle East15 offices
Mazars Europe 140 officesMazars M&A 20 offices
Mazars South America20 offices
Moss Adams Capital 2 officesMoss Adams LLP 30+ locations
MNP Corporate Finance 10 officesMNP LLP 70 offices
BKD Corporate Finance 4 officesBKD LLP 33 offices
William Buck CAA 6 offices
Weiser Mazars 6 offices
Mazars Canada 1 office CH Reynolds CF
1 office
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Contact Us
Richard AndersonManaging Partner
Tyler DaleDirector
Andrew FreemanAssociate
FOR ADDITIONAL INFORMATION CONTACT CONTRIBUTING AUTHORS WITH MOSS ADAMS INVESTMENT BANKING & ADVISORY
SEATTLE, WA IRVINE, CA
(206) 302-6500 (949) 221-4000
WWW.MOSSADAMS.COM/SERVICES/CONSULTING/TRANSACTIONS/INVESTMENT-BANKING
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The material appearing in this presentation is for informational purposes only and should not be construed as advice of any kind, including, without limitation, legal, accounting, or investment advice.
This information is not intended to create, and receipt does not constitute, a legal relationship, including, but nor limited to, an accountant-client relationship. Although this information may have been prepared
by professionals, it should not be used as a substitute for professional services. If legal, accounting, investment, or other professional advice is required, the services of a professional should be sought.
Assurance, tax, and consulting offered through Moss Adams LLP. Wealth management offered through Moss Adams Wealth Advisors LLC. Investment banking offered through Moss Adams Capital LLC.
