Victor Capital Partners Announces Sale Of PrimaLoft Inc. To Compass Diversified

NEW YORK CITY — June 6, 2022 — Victor Capital Partners, a leading middle market private equity firm investing in branded, mission-driven companies in specialty consumer, industrial technology, and business service industries, today announced that an affiliate has entered into a definitive agreement to sell PrimaLoft Inc. to Compass Diversified. PrimaLoft is a   developer of advanced insulations and fabrics that global brands use to deliver high performance and comfort while also reducing impact on the environment.

Based in Latham, N.Y., PrimaLoft technologies are integral components that balance innovation, performance, and sustainability, and have been widely adopted in the finished products of over 950 brand partners — the most forward-thinking technical providers of outdoor and lifestyle apparel, footwear, equipment, accessories, and home goods.

Victor Capital acquired a majority interest in PrimaLoft in 2017 in partnership with the management team, which maintained a significant investment in the business. Victor Capital and management collaborated to execute a successful growth plan that dramatically expanded the reach, size, and value of the company. PrimaLoft employees across the globe will receive some proceeds from the sale thanks to the “PrimaLoft Prosperity Plan” which Victor Capital and management put in place to ensure all employees would benefit financially from the growth and success of the business.

“We are thrilled with the remarkable progress and value creation delivered by Mike Joyce and the entire PrimaLoft team during our partnership,” said Douglas Korn, founder and managing partner of Victor Capital. “PrimaLoft has introduced industry-leading innovations, including the successful launch of proprietary, high-performance materials that reduce environmental impact, and we are proud to have contributed our experience and resources to this tremendous success story.”

“We love working with talented management teams to grow branded, mission-driven businesses that have out-sized impact on their industry and the world,” added Dave Affinito, a partner at Victor Capital. “It has been a privilege to help PrimaLoft realize its commitment to using advanced material technology to create innovative alternatives to animal-derived down and generic synthetic insulations.”

“We are extremely grateful to Victor Capital, who has been a supportive, valued, and trusted partner to the PrimaLoft team,” said Mike Joyce, president and CEO, PrimaLoft. “Their partnership has been a driving force behind the ability of our team to develop, advance and amplify our mission to deliver high performance products that reduce impact on the environment. The power of the PrimaLoft brand has grown exponentially during our time together, and our suite of products now includes technologies and sustainability platforms that have further established our position as a leader within our global industries. Our entire team is stronger, and our brand partners now offer higher-quality, more sustainable, differentiated products to consumers around the world.”

The more than 950 global brand partners of PrimaLoft include outdoor brands Patagonia, Helly Hanson, LL Bean, and Arc’teryx; athletic brands Nike, Adidas, lululemon and Athleta; fashion/lifestyle brands Polo Ralph Lauren, Stone Island, J.Crew and Prada; and home goods brands The Company Store and Boll & Branch. PrimaLoft also offers a licensing program, providing its technologies and branding to an expanded set of nonwoven and other textile markets.

The transaction is subject to customary closing conditions, including receipt of required regulatory approvals, and is expected to close in early July 2022. William Blair & Company is serving as lead financial advisor to PrimaLoft along with Baird. Legal advisors to PrimaLoft are Blank Rome LLP.

Posted: June 6, 2022

Source: Victor Capital Partners/PrimaLoft Inc.