Star Avenue Capital Backs Hair Care Brand

Macadamia Natural Oil, a professional hair care brand based in Chatsworth, California, took an unspecified investment from Star Avenue Capital, the Los Angeles investment firm. Star Avenue was formed by Creative Artists Agency and private equity firm Irving Place Capital; the firm has already invested in J Brand, a premium apparel company. Macadamia was founded in 2009.

PRESS RELEASE:

(Los Angeles) September 12, 2012 – Star Avenue Capital, LLC (“Star Avenue”) announced today an investment in Macadamia Natural Oil (“Macadamia”), a premium, professional hair care brand based in Chatsworth, CA. Star Avenue will work with CEO and Founder John Fasan to support the company’s rapid growth and to help build Macadamia into a leader in the global hair care industry. The terms of the transaction were not disclosed.

Star Avenue is a consumer growth equity vehicle formed in partnership with private equity firm Irving Place Capital (“IPC”) and leading entertainment and sports agency Creative Artists Agency (“CAA”). Macadamia is Star Avenue’s second investment in the fashion and beauty space, having previously invested in J Brand, a premium denim and apparel brand.

Founded just three years ago in 2009, Macadamia incorporates nature-based ingredients, including macadamia and argan oils, into professional hair care products to heal, revitalize, and control problem hair. Since the release of its first product, the Macadamia Natural Oil Healing Oil Treatment, Macadamia has become a favorite of stylists and consumers around the world due to its straightening and smoothing effects on hair, rapid absorption, and its ease of use.

Mr. Fasan commented, “Star Avenue shares our vision for the Macadamia brand and brings unique resources, capabilities, and insight that would otherwise not be available to the company. Star Avenue has access to CAA’s extensive network of relationships and resources as well as the agency’s unique insight into popular culture, and to IPC’s relevant investment experience in the consumer and retail sectors, which are valuable assets for high-growth consumer brands such as Macadamia. These additional resources make Star Avenue the right partner for Macadamia – one that can help me transform my business.”

“Star Avenue is thrilled to partner with a dynamic entrepreneur like John,” said Craig Elson, Managing Director of Star Avenue Capital. “He has built a global business in a very short period of time. We look forward to working with him to continue growing the company’s international business while applying our resources to bolster Macadamia’s U.S. presence.”

Roth Capital Partners acted as the exclusive financial advisor, and Buchalter Nemer acted as counsel for Macadamia. Bank of America Merrill Lynch’s Global Commercial Banking Group provided working capital financing. Demeter Advisory Group, LLC advised and Proskauer LLP represented Star Avenue.

About Macadamia Natural Oil
Macadamia Natural Oil is a premium, professional hair care line focused on healing and beautifying problem hair via a modern application of macadamia and argan oils. The company focuses on delivering the curative powers and results of their time-tested, nature-based ingredients through innovative products for the professional beauty industry. Founded in 2009, Macadamia Natural Oil has grown to become a global brand with offices in both the United States and the Netherlands, and sales in over 80 countries worldwide. For more information, please visit www.macadamianaturaloil.com.

About Star Avenue Capital
Star Avenue Capital is a growth equity firm focused on making equity investments in branded consumer product and retail companies. Leveraging the resources, relationships and expertise of its partners, Irving Place Capital and Creative Artists Agency, Star Avenue Capital was created to be a differentiated private equity group, providing capital and strategic counsel to growth companies in the branded consumer products and branded retail industries. To learn more, please visit www.staravenuecapital.com.

About Irving Place Capital
Irving Place Capital is a middle-market private equity firm that invests in compelling buyouts, recapitalizations, and growth capital opportunities. The firm focuses on making control or entrepreneur-driven investments in retail, consumer, industrial, and healthcare companies where it can apply its substantial operating and strategic resources and expertise to enhance value. Since its formation in 1997, Irving Place Capital has been an investor in more than 55 companies and has raised over $4 billion of equity capital, including its current $2.7 billion institutional fund. More information about Irving Place Capital is available at www.irvingplacecapital.com.

About Creative Artists Agency
Creative Artists Agency is the world’s leading entertainment and sports agency, representing many of the most successful professionals working in film, television, music, video games, theatre, fashion, and the Internet, and provides a range of strategic marketing and consulting services to corporate clients. CAA is also a leader in sports, representing more than 700 of the world’s top athletes in football, baseball, basketball, hockey, soccer, tennis, and golf, and works in the areas of broadcast rights, corporate marketing initiatives, licensing, and sports properties for sales/sponsorship opportunities. In addition, The Intelligence Group, a market research and trend forecasting company, is a division of CAA. To contact CAA, please visitwww.caa.com.