WESTPORT, CT (BRAIN)—Compass Diversified Holdings acquired a controlling interest in CamelBak Products in a $257.5 million deal announced late Wednesday.
Compass, which also owns Fox Racing Shox, purchased an 89.9 percent stake in the Petaluma, California-based CamelBak. CamelBak’s management management team and a lender in Compass’ revolving credit facility also invested in the acquisition.
Camelbak reported revenue of $122.2 million in 2010 through sales of hydration packs, reusable water bottles, hydration accessories, specialized military gloves and other accessories for outdoor, recreation and military use in 50 countries.
“This company possesses the critical characteristics that we seek in all of our subsidiaries, including market leadership, strong operating history and cash flow levels, proven management and compelling growth opportunities,” said Compass CEO Alan Offenberg in a press release. “CamelBak is an industry pioneer with strong brand recognition as the premier innovator of personal hydration products, offering superior performance as well as important health and environmental benefits. We expect to capitalize on the company’s strong market position, as well as favorable macro trends, including the growing demand for improved everyday hydration.”
Camelbak CEO Sally McCoy will keep her existing role at the company.
“CamelBak’s mission is to continuously reinvent and forever change the way people hydrate and perform. CODI's acquisition of CamelBak provides an exciting opportunity to further that mission. We are eager to leverage the unique strengths of CODI's financing structure and history of working with established middle market companies to build upon our track record of success in providing advanced hydration solutions for customers on a worldwide basis."
Compass owns nine middle market leaders. It purchased a majority interest in Fox Racing Shox in January 2008 from company founder Bob Fox.