Monomoy Capital Partners has closed its previously announced acquisition of West Marine, a retailer of boating supplies and accessories, for $12.97 per share or about $337 million. Jefferies LLC advised Monomoy on the deal while Bank of America and Pathlight Capital provided financing for the transaction.
NEW YORK, NY – September 14, 2017 – Monomoy Capital Partners (“Monomoy”), a New York private equity fund focused on constructive investing and business improvement in the middle market, announced today that it has successfully completed the acquisition of West Marine, Inc. (NASDAQ: WMAR) at a price of $12.97 per share or a total of approximately $337 million. The transaction was originally announced on June 29, 2017, and West Marine’s stockholders approved the acquisition on September 12, 2017.
West Marine is the largest specialty retailer of boating supplies and accessories in the United States, with 249 stores located in 37 states and Puerto Rico. The company carries more than 175,000 aftermarket products, ranging from rope and rigging, to marine electronics, technical apparel, footwear and accessories. In addition to its retail stores and West Marine Pro wholesale divisions, the Company serves boating enthusiasts in more than 150 countries worldwide through its mail order and e-commerce divisions. Based in Watsonville, California, the Company operates two distribution centers in California and South Carolina and employs more than 4,000 dedicated staff members.
“We are excited to welcome West Marine to the Monomoy portfolio,” said Dan Collin, Monomoy’s Co-Chief Executive Officer. “We have long admired West Marine and the unique value the company provides for its loyal customers and world class associates. We look forward to working with the company’s management team to ensure that West Marine continues to lead the industry.”
“We are excited to be joining forces with Monomoy Capital Partners to grow and improve our business,” said Matt Hyde, West Marine’s Chief Executive Officer. “This transaction ensures that West Marine can continue to offer outstanding value to our customers and provide a rewarding workplace for our associates.”
Monomoy’s acquisition of West Marine marks the firm’s third middle market investment of 2017, following its acquisitions of Klaussner Furniture Industries, Inc. and Friedrich Holdings, Inc. in February. Monomoy acquired West Marine through its third fund vehicle, Monomoy Capital Partners III, L.P.
Jefferies LLC advised Monomoy on the deal; Michael Weisser and Megan Spelman from Kirkland & Ellis LLP provided Monomoy with legal counsel in the transaction; and Grant Thornton LLP completed financial and accounting diligence. Bank of America and Pathlight Capital provided financing for the transaction.
About Monomoy Capital Partners
Monomoy Capital Partners is a private equity firm with $1.5 billion in committed capital that makes control investments in middle market businesses in the manufacturing, industrial, distribution, and consumer sectors. Monomoy designs and executes a customized value creation plan for each acquisition that seeks to generate significant cash flow and improve earnings within 12 to 18 months of a Monomoy investment. Over the past 12 years, Monomoy has closed nearly 50 middle market acquisitions, and its companies have produced over $3 billion in combined sales and employed more than 12,000 associates across four continents.
Monomoy Capital Partners III, L.P., actively pursues the acquisitions of middle market businesses that can benefit from Monomoy’s focus on value creation, strategic growth and business excellence. Since the firm was formed in 2005, Monomoy has grown from its three founders to a firm of over 35 investment and operating professionals. To learn more about Monomoy and its portfolio companies, please visit the firm’s website at www.mcpfunds.com.
About West Marine, Inc.
With 249 stores located in 37 states and Puerto Rico and an e-commerce website reaching domestic, international and professional customers, West Marine is recognized as a leading waterlife outfitter for power boaters, sailors, anglers, water sport and paddle sport enthusiasts. Since first opening its doors in 1968, West Marine and its associates have shared the same enthusiasm for boating and water recreation as its customers and has provided helpful advice on the gear and gadgets they need to be safe and have fun. To learn more about West Marine, please visit the West Marine website at www.westmarine.com.