Buyout (LBO, MBO, MBI) • Food

Stripes and Convergent Capital Partners Acquire Stella & Chewy s

On August 1, 2013, growth capital firms Stripes and Convergent Capital Partners acquired food company Stella & Chewy s

Acquisition Context
  • This is Stripes’ 1st and Convergent Capital Partners’ 4th transaction in the Food sector.
  • This is Stripes’ 16th and Convergent Capital Partners’ 48th transaction in the United States.
  • This is Stripes’ 1st and Convergent Capital Partners’ 2nd transaction in Wisconsin.

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M&A Deal Summary

Date August 1, 2013
Target Stella & Chewy s
Sector Food
Buyer(s) Stripes
Convergent Capital Partners
Deal Type Buyout (LBO, MBO, MBI)

Target Company

Stella & Chewy s

Oak Creek, Wisconsin, United States
Stella & Chewy's is a provider of all-natural freeze-dried and frozen raw food for dogs and cats. Stella & Chewy's was founded in 2003 and is based in Oak Creek, Wisconsin.
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Buyers Overview 2

Buyer

Stripes

New York, New York, United States

Investor Investor Investor Investor Investor


Category Growth Capital Firm
Founded 2008
PE ASSETS 7.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Stripes is a private investment firm focused primarily on making minority investments in rapidly growing, private companies. Stripes look to commit $10 to $150 million of equity capital per transaction to support acquisitions, growth equity needs, and provide shareholder liquidity. Target companies generally have high margins and operate in large markets. Sectors of interest include branded consumer products, financial services, medical devices, and technology. Stripes was formed in 2008 and is based in New York, New York.


Deal Context for Buyer #
Overall 18 of 49
Sector: Food 1 of 3
Type: Buyout (LBO, MBO, MBI) 3 of 5
State: Wisconsin 1 of 1
Country: United States 16 of 46
Year: 2013 4 of 5
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2013-07-30 Audio Network

London, United Kingdom

Audio Network is an online music platform that specializes in providing music for film, television, advertisements and online video use on a subscription basis. Audio Network was founded in 2001 and is based in London, England.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2013-10-16 Refinery29

New York, New York, United States

Refinery29 is a media and entertainment company focused on women with a global audience footprint of 249 million across all platforms. Refinery29 emphasizes diverse storytelling that delivers refreshing new perspectives to its audience and drives growth across numerous platforms for its partners.

Buy -
DESCRIPTION

Convergent Capital is a private investment firm that provides growth and debenture financing to late-stage growth companies. Convergent prefers to commit $3 to $12 million per transaction in businesses with at least $10 million in revenues. Convergent is a generalist investor and will consider businesses in a wide range of industries. Investment funds are typically used to assist growth, but the firm can also structure investments around buyouts, recapitalizations, consolidations, and add-on acquisitions. Convergent is licensed as a SBIC. Convergent Capital was formed in 1999 and is based in Minneapolis, Minnesota.


Deal Context for Buyer #
Overall 48 of 62
Sector: Food 4 of 5
Type: Buyout (LBO, MBO, MBI) 20 of 25
State: Wisconsin 2 of 3
Country: United States 48 of 62
Year: 2013 1 of 2
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2013-05-01 Hastings Manufacturing

Hastings, Michigan, United States

Hastings Manufacturing is a global manufacturer of piston rings for internal combustion engines used in a broad range of automotive and industrial applications. Hastings Manufacturing was founded in 1915 and is based in Hastings, Michigan.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2013-09-01 Solvair

Chicago, Illinois, United States

Solvair, LLC is a producer and marketer of proprietary, environmentally friendly dry cleaning systems. Solvair was founded in 2007 and is based in Chicago, Illinois.

Sell -