M&A Deal Summary

TPG and PennantPark Acquire e.l.f. Cosmetics

On February 3, 2014, private equity firm TPG and lender PennantPark acquired consumer products company e.l.f. Cosmetics from TSG Consumer Partners

Acquisition Highlights
  • This is TPG’s 9th and PennantPark’s 1st transaction in the Consumer Products sector.
  • This is TPG’s 155th and PennantPark’s 15th transaction in the United States.
  • This is TPG’s 4th and PennantPark’s 1st transaction in New York.
Investment Fate
  • e.l.f. Cosmetics went public in 2016.

M&A Deal Summary

Date 2014-02-03
Target e.l.f. Cosmetics
Sector Consumer Products
Buyer(s) TPG
PennantPark
Sellers(s) TSG Consumer Partners
Deal Type Secondary Buyout
Advisor(s) Financo (Financial)
Sills Cummis & Gross (Legal)

Target

e.l.f. Cosmetics

New York, New York, United States
JA Cosmetics Corp. is a developer and marketer of high quality, "extreme value" priced color cosmetics products sold online and through retailers such as Target, Kmart and Dollar General. JA Cosmetics Corp. was established in 2004 and is based in New York city.

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Buyer(S) 2

Buyer

TPG

Fort Worth, Texas, United States

Investor Investor Investor Investor


Category Private Equity Firm
Founded 1992
PE ASSETS 296.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

TPG Capital is a global, mega-sized private investment firm that manages a family of funds focused on private equity, real estate, venture capital, public equity and debt investing. TPG invests in opportunities across a broad range of industries and geographies. TPG generally seeks to invest in established businesses that can benefit from the Firm's operational experience and connections. Industries of interest include consumer, retail, healthcare, industrials, digital media, natural resources, energy, real estate, technology, and software. TPG was formerly known as Texas Pacific Group and was originally established in 1992 by David Bonderman, James Coulter and William Price. The Firm is based in Forth Worth, Texas with additional offices in Europe, Asia, and Australia.


DEAL STATS #
Overall 229 of 453
Sector: Consumer Products M&A 9 of 13
Type: Secondary Buyout M&A Deals 20 of 76
State: New York M&A 4 of 14
Country: United States M&A 155 of 299
Year: 2014 M&A 5 of 17
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2014-02-03 e.l.f. Cosmetics

Oakland, California, United States

e.l.f. is an online retailer of beauty products, giving it a unique digital presence and establishing it as an online beauty authority. e.l.f. Cosmetics was founded in 2004 and is based in Oakland, California.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2014-02-04 Gelson s Markets

Encino, California, United States

Gelson’s currently operates 27 full-service specialty grocery stores in Southern California. Each Gelson’s Market features the full amenities of a traditional supermarket, with the local flavor of a neighborhood market. Gelson's Markets was founded in 2013 and is based in Encino, California.

Buy -
Buyer

PennantPark

Investor Investor Investor Investor Investor


Category Lender
Founded 2007
PE ASSETS 10.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

PennantPark is a provider of credit solutions to middle-market private equity sponsors. The Firm looks to provide $10 to $100 million of capital and can support a variety of investment structures. PennantPark was formed in 2007 and is headquartered in New York City.


DEAL STATS #
Overall 15 of 22
Sector: Consumer Products M&A 1 of 1
Type: Secondary Buyout M&A Deals 6 of 9
State: New York M&A 1 of 2
Country: United States M&A 15 of 22
Year: 2014 M&A 1 of 3
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2013-12-13 ECM Industries

New Berlin, Wisconsin, United States

ECM Industries is a manufacturer and supplier of electrical products for construction, maintenance, lighting, irrigation, landscape supply, and gas utility markets. ECM Industries is based in New Berlin, Wisconsin.

Buy $258M
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2014-02-05 Robertshaw Controls

Itasca, Illinois, United States

Robertshaw Controls is a global design, engineering and manufacturing company that sells product solutions into the white goods industry and leverages this portfolio and technology into adjacent markets and after sales channels. Robertshaw manufactures more than 10,000 sophisticated controls for commercial and home appliances. Primary applications include controls for clothes washers and dryers, dishwashers, refrigerators, electric and gas cooking, ice makers, fluid dispensing, storage water heaters, gas valves for space/central heating, and automotive/off road temperature and fluid controls. Robertshaw Global was founded in 1907 and is based in Itasca, Illinois.

Buy £150M

Seller(S) 1

SELLER

TSG Consumer Partners

Stamford, Connecticut, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1987
PE ASSETS 14.0B USD
Size Mega
Type Sector Focused
DESCRIPTION

TSG Consumer Partners (formerly known as The Shansby Group) is a specialist private equity firm focused on acquiring and building mid-sized, branded consumer companies. TSG invests in private and publicly traded companies, and will consider both majority and minority equity positions. Specific sectors of interest include apparel, beauty, e-commerce, personal care, retail, food/beverages, restaurants, health/wellness, household products, and pet care. TSG looks for companies with sales between $20 million and $1.5 billion and can invest commit up to $500 million per transaction. TSG Consumer Partners was formed in 1987 and is based in San Francisco, California.


DEAL STATS #
Overall 16 of 40
Sector: Consumer Products M&A 4 of 11
Type: Secondary Buyout M&A Deals 2 of 4
State: New York M&A 4 of 4
Country: United States M&A 16 of 38
Year: 2014 M&A 2 of 8
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2014-02-03 e.l.f. Cosmetics

Oakland, California, United States

e.l.f. is an online retailer of beauty products, giving it a unique digital presence and establishing it as an online beauty authority. e.l.f. Cosmetics was founded in 2004 and is based in Oakland, California.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2014-06-02 Sexy Hair Concepts

Chatsworth, California, United States

Sexy Hair Concepts LLC is a manufacturer and marketer of premium hair care products selling to the professional beauty industry.

Sell -