M&A Deal Summary

Prospect Hill Growth Partners and KSL Capital Partners Acquire Honors Holdings

On January 4, 2018, private equity firms Prospect Hill Growth Partners and KSL Capital Partners acquired consumer services company Honors Holdings from Roark Capital Group

Acquisition Highlights
  • This is Prospect Hill Growth Partners’ 1st and KSL Capital Partners’ 4th transaction in the Consumer Services sector.
  • This is Prospect Hill Growth Partners’ 26th and KSL Capital Partners’ 21st transaction in the United States.
  • This is Prospect Hill Growth Partners’ 3rd and KSL Capital Partners’ 1st transaction in Georgia.

M&A Deal Summary

Date 2018-01-04
Target Honors Holdings
Sector Consumer Services
Buyer(s) Prospect Hill Growth Partners
KSL Capital Partners
Sellers(s) Roark Capital Group
Deal Type Secondary Buyout
Advisor(s) Piper Sandler & Co. (Financial)
Davis Wright Tremaine (Legal)

Target

Honors Holdings

Atlanta, Georgia, United States
Honors Holdings is a franchisee of Orangetheory Fitness with studio locations in Georgia, Tennessee, South Carolina, Oregon, Washington, and international locations in the United Kingdom. Honors Holdings is based in Atlanta, Georgia.

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Buyer(S) 2

Buyer

Prospect Hill Growth Partners

Waltham, Massachusetts, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1995
PE ASSETS 2.7B USD
Size Large
Type Sector Agnostic
DESCRIPTION

Prospect Hill Growth Partners is a private equity firm specializing in leveraged buyouts and recapitalizations of middle-market growth companies across the US. Prospect Hill looks for profitable businesses ($5 to $25 million of EBITDA) with annual revenues from $50 to $300 million with strong brands and leading market positions. Target sectors include consumer products, healthcare, specialty retail, and asset management. Prospect Hill Growth Partners was formerly known as J.W. Childs and changed its name in 2019. The Firm was originally formed in 1995 and is headquartered in Waltham, Massachusetts.


DEAL STATS #
Overall 26 of 32
Sector (Consumer Services) 1 of 1
Type (Secondary Buyout) 13 of 15
State (Georgia) 3 of 4
Country (United States) 26 of 32
Year (2018) 1 of 3
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2017-12-12 Outward Hound

Centennial, Colorado, United States

Outward Hound is a designer, manufacturer, and distributor of stimulating toys, outdoor travel gear, feeding products, treats, scratchers, and innovative accessories under the Outward Hound, Petstages, Bionic, Nina Ottosson, Dublin Dog, Charming Pet, Wholesome Pride and Planet Dog brands. Outward Hound was founded in 2005 and is based in Centennial, Colorado.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2018-02-05 WS Packaging

Green Bay, Wisconsin, United States

WS Packaging is a domestic pressure sensitive label manufacturer. The Company prints a broad range of high-quality pressure sensitive labels for clients engaged in the food, beverage, personal care, household, commercial, promotional, industrial, direct mail, and pharmaceutical markets. WS Packaging is based in Green Bay, Wisconsin.

Sell -
Buyer

KSL Capital Partners

Denver, Colorado, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 2005
PE ASSETS 18.0B USD
Size Mega
Type Sector Focused
DESCRIPTION

KSL Capital Partners LLC is a specialist private equity firm that makes investments in travel and leisure businesses. Areas of interest include hospitality, recreation, clubs, real estate and travel services. KSL is a hands-on investor, with a strong interest in pursuing under-managed or under-capitalized businesses where the firm can unlock hidden value. KSL Capital Partners is the successor investment vehicle to KSL Recreation Corporation, a former portfolio company of KKR. KSL Capital Partners LLC was founded in 2005 and is based at Denver, Colorado with additional offices in New York, New York and London, United Kingdom.


DEAL STATS #
Overall 28 of 49
Sector (Consumer Services) 4 of 4
Type (Secondary Buyout) 5 of 6
State (Georgia) 1 of 1
Country (United States) 21 of 36
Year (2018) 1 of 2
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2017-11-28 Under Canvas

Belgrade, Montana, United States

Under Canvas is an owner and operator of luxurious camping or “glamping” accommodations near America’s most popular national parks. Under Canvas was founded in 2009 and is based in Belgrade, Montana.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2018-12-19 Baillie Lodges

Avalon, Australia

Baillie Lodges is an intimate portfolio of luxury lodges setting new benchmarks for premium experiential travel in the Australian style. Set in exclusive locations of unique natural or cultural significance, the boutique properties appeal to the discerning global traveler seeking a remarkable experience. Baillie Lodges was founded in 2003 and is based in Avalon, Australia.

Buy -

Seller(S) 1

SELLER

Roark Capital Group

Atlanta, Georgia, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 2001
PE ASSETS 33.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Roark Capital Group is a private equity firm that focuses on middle-market investment opportunities. The Firm targets family-owned business transfers, management/corporate buyouts, recapitalizations, going-private transactions, and corporate divestitures. Roark Capital Group pursues companies with revenues between $20 million and $5 billion, and EBITDA of $10 to $500 million. Roark Capital primarily invests in consumer and business services companies, with a particular interest in the franchise, food and restaurant, specialty retail, direct marketing and financial services sectors. Roark Capital Group was formed in 2001 and is headquartered in Atlanta, Georgia.


DEAL STATS #
Overall 9 of 18
Sector (Consumer Services) 1 of 3
Type (Secondary Buyout) 5 of 5
State (Georgia) 2 of 2
Country (United States) 9 of 17
Year (2018) 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2018-01-01 Self Esteem Brands

Woodbury, Minnesota, United States

Self Esteem Brands is focused on improving the self-esteem of consumers, vendors, employees, franchisees and the surrounding communities. Self Esteem Brands was founded in 2002 and is based in Woodbury, Minnesota.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2019-02-04 Fitness Connection

McLean, Virginia, United States

Fitness Connection is a category leader in the HVLP fitness segment, offering the full range of amenities and services of a large, full-service premium club for as low as $10 per month. Memberships include access to state-of-the-art strength/cardio equipment, functional training areas, women's only workout areas, short-term child care, cycling studios, as well as other amenities and services. Fitness Connection was founded in 1999 and is based in McLean, Virginia.

Buy -