in 2018 for $1.9 billion, L Catterton and the Lang family earned a whopping eight times their money based on the value of their stakes when the private-equity firm invested.L Catterton Managing Partner Andrew Taub, far left, and co-CEO Scott Dahnke, far right, with members of the Lang family at a dinner in 2018.Buyouts can come at different points in a company’s life cycle. Some involve taking a public company private; others are meant to prepare a private company to go public someday.
The company has grown so much that the check Mr. Clendenen received from his less-than-5% stake in the most recent sale to Waud was bigger than what he and his original partner received when they first sold in 2006. Buyouts typically increase risk because a significant portion of the purchase price is financed with debt. Scores of private-equity-backed companies have gone bankrupt under the weight of debt loads they couldn’t afford, resulting in the loss of thousands of jobs.
The new CEO, who came from a large consumer-packaged goods company, ramped up production with the goal of boosting sales of its No-Ad, Ocean Potion and Bullfrog sunscreens. The new owner, private-equity backed Kik Custom Products Inc., closed Sun & Skin Care Research’s Florida factory, putting 130 people out of work.
The process of getting buyer ready separates the great deals from the OK deals. The unprepared get creamed
well you could give it to me -and i will put it to a good cause .
This doesn’t happen when the kids are trained from birth to take it over
PE doesn’t deserve all the bad mouthing they get. They can provide an exit/liquidity to closely held/family entities. They are critical to our economy and a functioning middle market.
Good idea