M&A Deal Summary

Falconhead Capital Acquires Kwik Tek

On January 19, 2017, private equity firm Falconhead Capital acquired consumer products company Kwik Tek from Guardian Capital Partners and Yukon Partners

Acquisition Highlights
  • This is Falconhead Capital’s 1st transaction in the Consumer Products sector.
  • This is Falconhead Capital’s 13th transaction in the United States.
  • This is Falconhead Capital’s 1st transaction in Colorado.

M&A Deal Summary

Date 2017-01-19
Target Kwik Tek
Sector Consumer Products
Buyer(s) Falconhead Capital
Sellers(s) Guardian Capital Partners
Yukon Partners
Deal Type Secondary Buyout
Advisor(s) Lazard (Financial)

Target

Kwik Tek

Denver, Colorado, United States
Kwik Tek, Inc. is a designer and supplier of outdoor branded products for the recreational watersports and winter sports markets. Its product line includes towables, inflatables, life jackets, wakeboards, kneeboards, snowshoes, trekking poles, snow sleds, pool floats, lounge items, and related accessories. Kwik Tek supplies products through their trusted consumer brands including Airhead, Sportsstuff, and Yukon Charlie's. Aaron Kramer, founder, CEO and President of Kwik Tek said, "I am excited to be partnering with Falconhead Capital and M3 Outdoor. Their market expertise makes them the perfect partners to help ensure that even more people can enjoy our exciting products.

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Buyer(S) 1

Buyer

Falconhead Capital

New York, New York, United States

Category Private Equity Firm
Founded 1998
PE ASSETS 500M USD
Size Middle-Market
Type Sector Agnostic
DESCRIPTION

Falconhead Capital is a private equity firm focused on making control investments in lower middle-market companies in the consumer, leisure/lifestyle and media sectors that benefit from the growing number of consumers with a higher standard of living. Falconhead seeks to invest $10 to $100 million per transaction and in conjunction with co-investors can invest up to $100 million. Prospective businesses should have revenues of $20 to $150 million and $5 to $30 million of EBITDA. Falconhead Capital was formed in 1998 and is based in New York City.


DEAL STATS #
Overall 15 of 15
Sector: Consumer Products M&A 1 of 1
Type: Secondary Buyout M&A Deals 3 of 3
State: Colorado M&A 1 of 1
Country: United States M&A 13 of 13
Year: 2017 M&A 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2017-01-03 Rita s

Trevose, Pennsylvania, United States

Rita's is an ice and frozen treat franchiser in the world with more than 600 stores. Rita's is aggressively expanding internationally with operating locations in the Philippines, Canada, and the Middle East. Rita's was founded in 1984 and is based in Trevose, Pennsylvania.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2017-10-31 GPSI Holdings

Sarasota, Florida, United States

GPSI Holdings LLC is a developer, manufacturer and seller of a new and refurbished cart-mounted GPS distance measurement devices along with the related infrastructure for use with golf course operations, and provides service required to properly maintain the units. GPSI Holdings was founded in 20009 and is based in Sarasota, Florida.

Sell -

Seller(S) 2

SELLER

Guardian Capital Partners

Wayne, Pennsylvania, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 2007
PE ASSETS 200M USD
Size Small
Type Sector Agnostic
DESCRIPTION

Guardian Capital Partners is a smaller private equity firm focused on control investments in family-owned companies and corporate divestitures. Guardian looks for profitable businesses with a 'history of stability' and a 'strong instaleed customer base'. Prospective opportunities are located in the US and typically generate sales of $20 to $150 million. Target sectors include industrial, manufacturing, business services, consumer products, and healthcare/medical devices. Guardian Capital Partners was formed in 2007 and is based in Wayne, Pennsylvania.


DEAL STATS #
Overall 5 of 11
Sector: Consumer Products M&A 2 of 4
Type: Secondary Buyout M&A Deals 2 of 3
State: Colorado M&A 1 of 1
Country: United States M&A 5 of 11
Year: 2017 M&A 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2016-07-26 Carson Dellosa Education

Greensboro, North Carolina, United States

Carson Dellosa Education is a provider of K-8 supplemental education content for parents, teachers, and students with an established portfolio of five market-leading brands known for high-quality, rigorous educational materials. Carson Dellosa Education was founded in 1975 and is based in Greensboro, North Carolina.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2018-08-02 Direct Line

Fremont, California, United States

Direct Line provides network cabling, infrastructure, and staffing services to data centers and other mission-critical environments. Direct Line has unique expertise in managing the complexities of installing, designing, and maintaining customized data and fiber optic cabling for data centers across various end markets. Direct Line was established in 1997 and is based in Fremont, California.

Buy -
SELLER

Yukon Partners

Minneapolis, Minnesota, United States

Investor Investor Investor Investor Investor


Category Mezzanine Finance Firm
Founded 2008
PE ASSETS 640M USD
Size Middle-Market
Type Sector Agnostic
DESCRIPTION

Yukon Partners is a mezzanine finance firm that works with private equity sponsors to fund a variety of investment situations. Yukon looks to invest $10 to $40 million to support buyouts, recapitalizations, take privates, and refinancings. Sectors of interest include automotive, building products, business services, consumer products, food/beverages, healthcare products/services, industrial manufacturing, niche manufacturing, and transportation/logistics. Prospective companies generally have revenues of $30 to $500 million and are profitable with EBITDA of $5 to $50 million. Yukon Partners was formed in 2008 and is based in Minneapolis, Minnesota.


DEAL STATS #
Overall 6 of 29
Sector: Consumer Products M&A 1 of 2
Type: Secondary Buyout M&A Deals 2 of 17
State: Colorado M&A 1 of 1
Country: United States M&A 6 of 28
Year: 2017 M&A 1 of 4
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2016-12-23 AccuMED Innovative Technologies

Buffalo, New York, United States

AccuMED Innovative Technologies LLC is a contract manufacturer focused on healthcare product companies and OEMs of medical devices and supplies, including respiratory disorder, vascular compression, and patient transfer products.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2017-03-13 Binswanger Glass

Memphis, Tennessee, United States

Binswanger Glass provides residential and commercial glass installation, repair, and replacement services across the United States. The Company offers products and services such as curtain walls, storefronts, shower enclosures, custom mirrors, and window repair for projects ranging from small residential jobs to large-scale commercial glazing. Binswanger Glass was founded in 1872 and is headquartered in Memphis, Tennessee.

Sell -