Sycamore Partners

Sycamore Partners is a private equity firm based in New York specializing in investments through a variety of private equity strategies, most notably leveraged buyouts, distressed buyouts, complex corporate carveouts and debt investments. The firm has more than $15 billion in capital under management.

Sycamore Partners
TypePrivate
IndustryPrivate Equity
Founded2011 (2011)
FoundersStefan Kaluzny
Peter Morrow
HeadquartersSolow Building,
New York City, New York
,
U.S.
Key people
Stefan Kaluzny
Peter Morrow
ProductsLeveraged buyouts, special situations, distressed buyouts
AUM$15 billion
Number of employees
28[1]
Websitesycamorepartners.com

Some of the investments made by Sycamore Partners include Belk, Inc, Talbots, and Nine West Holdings. The purchase of Staples Inc. for $6.9 billion was announced on June 28, 2017;[2] it was the largest leveraged buyout globally in 2017. Sycamore had an annualized gross return of 60% through end of 2017.

History
History of private equity
and venture capital
Early history
(origins of modern private equity)
The 1980s
(leveraged buyout boom)
The 1990s
(leveraged buyout and the venture capital bubble)
The 2000s
(dot-com bubble to the credit crunch)

Founding

Sycamore Partners was founded in 2011 by Stefan Kaluzny and Peter Morrow.[3] Before Sycamore, Kaluzny was a Managing Partner at Golden Gate Capital and was employed since the firm's inception. Prior to joining Golden Gate, he co-founded Delray Farms, Inc. and also served as its Chief Executive Officer. Kaluzny received a BA from Yale University and an MBA from Harvard Business School. Morrow served as a Principal at Golden Gate before co-founding Sycamore. Peter Morrow received a BA from Stanford University and an MBA from Stanford Graduate School of Business.

Notable holdings

Former:

Recent Investments

In 2011, Sycamore acquired a 51% stake in MGF Sourcing, finally completing the total takeover in 2015.[5]

In 2012 the firm acquired Talbots for $391 million.[6]

In 2013, Sycamore acquired Hot Topic and Torrid for $600 million.[7]

In 2014, the firm acquired Coldwater Creek,[8] Jones New York for $2.2 billion[9] which was then sold to Authentic Brands Group in 2015.[10] Kurt Geiger [11] which was then sold to Cinven in 2015.[12] Sycamore also sold the Stuart Weitzman business to Coach, Inc. in 2015 for $574 million.[13]

In 2015, the firm acquired Belk, Inc for $3 billion,[14] and EMP Merchandising,[15] whilst divesting Pathlight Capital[16]

In 2017, Sycamore's Nine West Holdings acquired Kasper[17] and Sycamore Partners purchased NBG Home.[18] The firm then went onto win the bid for The Limited, bidding $26.8 million.[19] In June 2017, Reuters reported that Staples Inc. had agreed to sell itself for $6.9 billion.[20] Sycamore also sold over 300 Dollar Express stores to rival, Dollar General.[21]

In July 2020, it was announced that Sycamore Partners had made a $1.75B offer to acquire department store chain and competitor JCPenney out of bankruptcy, and would rebrand 250 JCPenney stores to the Belk name, to help the chain compete directly with Macy's. Under the plan, the remaining JCPenney stores will be liquidated.[22] The plan was not selected.[23]

In January 2021 Sycamore Partners bought Azamara Cruises from Royal Caribbean International.

References
  1. https://www.apollo.io/companies/Sycamore-Partners/5e565c88524b290001a7f8c9?chart=count
  2. "Staples in $6.9 billion sale to private equity firm Sycamore". Reuters. June 28, 2017. Retrieved 2017-06-29.
  3. "Why the Wall Street dealmaker who bought Charlotte's Belk is betting on retail". The Charlotte Observer. May 22, 2017.
  4. "Investments". Sycamore Partners. Retrieved May 15, 2018.
  5. "OUR COMPANY – MGF Sourcing". www.mgfsourcing.com. Retrieved 2017-06-29.
  6. Partners, Sycamore. "Sycamore Partners Completes Acquisition Of Talbots". www.prnewswire.com. Retrieved 2017-06-29.
  7. Merced, Michael J. de la (March 7, 2013). "Sycamore Partners to Buy Hot Topic for $600 Million". DealBook. Retrieved 2017-06-29.
  8. Partners, Sycamore. "Sycamore Partners Acquires Coldwater Creek Intellectual Property". www.prnewswire.com. Retrieved 2017-06-29.
  9. Partners, Sycamore. "Sycamore Partners Completes Acquisition Of The Jones Group". www.prnewswire.com. Retrieved 2017-06-29.
  10. Collings, Richard (2015-04-24). "Authentic Brands Acquires Jones New York Apparel Brand From Sycamore Partners". TheStreet. Retrieved 2017-06-29.
  11. Torrid, Sycamore Partners, Private equity, Sycamore private equity, Retail investment, Retail private equity, Consumer investment, Consumer private equity, Sycamore investment, Retail capital, Consumer capital, Stefan Kaluzny, Peter Morrow, Belk, Coldwater Creek, Dollar Express, EMP Merchandising, Hot Topic, Kasper, MGF Sourcing, Nine West, Talbots. "Private Equity | Retail | Sycamore Partners". www.sycamorepartners.com. Retrieved 2017-06-29.
  12. Bray, Chad (2015-12-14). "Kurt Geiger, British Footwear Maker, in Another Private Equity Deal". The New York Times. ISSN 0362-4331. Retrieved 2017-06-29.
  13. Kell, John. "Coach to pay $574 million for shoemaker Stuart Weitzman". Fortune. Retrieved 2017-06-29.
  14. "Sycamore Partners completes purchase of Belk". charlotteobserver. Retrieved 2017-06-29.
  15. Partners, Sycamore. "Sycamore Partners Acquires E.M.P. Merchandising, Germany-Based Multi-Channel Retailer". www.prnewswire.com. Retrieved 2017-06-29.
  16. Torrid, Sycamore Partners, Private equity, Sycamore private equity, Retail investment, Retail private equity, Consumer investment, Consumer private equity, Sycamore investment, Retail capital, Consumer capital, Stefan Kaluzny, Peter Morrow, Belk, Coldwater Creek, Dollar Express, EMP Merchandising, Hot Topic, Kasper, MGF Sourcing, Nine West, Talbots. "Private Equity | Retail | Sycamore Partners". sycamorepartners.com. Retrieved 2017-06-29.
  17. Inc., Nine West Holdings. "Nine West Holdings to Acquire the Kasper Group". www.prnewswire.com. Retrieved 2017-06-29.
  18. Partners, Sycamore. "Sycamore Partners Acquires NBG Home". www.prnewswire.com. Retrieved 2017-06-29.
  19. "Exclusive: Sycamore Partners wins bankruptcy auction for The Limited - sources". Reuters. February 21, 2017. Retrieved 2017-06-29.
  20. Hirsch, Lauren (29 June 2017). "Staples in $6.9 billion sale to private equity firm Sycamore". Uk.reuters.com. Retrieved 7 June 2018.
  21. "Dollar General scooping up 323 former Family Dollar stores". Retail Dive. Retrieved 2017-06-29.
  22. Fickenscher, Lisa. "Private-equity firm Sycamore poised to buy J.C. Penney, merge it with North Carolina chain Belks; Penney brand likely to vanish". MarketWatch. Retrieved 2020-11-25.
  23. "J.C. Penney's sale approved by bankruptcy court". MarketWatch. Associated Press. Retrieved 2020-11-25.
This article is issued from Wikipedia. The text is licensed under Creative Commons - Attribution - Sharealike. Additional terms may apply for the media files.