BOSTON, Sept. 18,
2024 /PRNewswire/ -- Schottenstein affiliates Second
Avenue Capital Partners (SACP) and SB360 Capital
Partners (SB360), providers of customized solutions for the
retail and consumer product sectors, along with Ares Commercial
Finance (Ares), are pleased to announce the closing of a
$112,000,000 Senior Secured Revolving
Credit Facility and Term Loan for Backcountry, the leading, premium
specialty retailer of outdoor gear and apparel. The new financing
package refinanced a previous facility and supported the company's
acquisition by venture-backed firm CSC Generation Enterprise
(CSC).
Backcountry was founded in 1996 by Jim
Holland and John Bresee in
Park City, Utah. Holland was a
former ski jumper, and Bresee was a journalist and web developer.
The company started as a small online shop focused on backcountry
skiing gear, which was a niche market at the time. The website
initially sold avalanche beacons, a critical safety tool for
backcountry skiers.
Today, the company sells not only its own exclusive brand,
Backcountry, but also a wide range of products from established
brands like Columbia, Patagonia,
The North Face, and Specialized, as well as emerging brands such as
Hoka and On Running. Backcountry has an omni-channel presence
selling through four e-commerce banners (Backcountry, Steep &
Cheap, Competitive Cyclist, and MotoSport), two 3rd party
marketplaces (Amazon and eBay), and nine Backcountry retail stores
located in six states and the District of
Columbia.
"We are thrilled to partner again with the CSC team," said
Mark E. Gallivan, Managing Director
of Second Avenue Capital Partners. "When they approached us to
support their acquisition of Backcountry, we jumped at the
opportunity to support a sponsor who we've seen first-hand succeed
in the specialty retail sector."
CSC and SACP first paired up for CSC's acquisition of Sur La
Table in 2020. Since then, the two firms have done multiple deals
together.
"Second Avenue Capital Partners has been our go-to source of
financing for several years," said Justin
Yoshimura, CEO of CSC. "We are incredibly excited about the
Backcountry deal and the opportunity to shepherd the business into
its next era of success. With their sector expertise, having SACP
and SB360 as financing partners allows us to focus on executing our
business plan, knowing they have our financing needs covered."
Second Avenue Capital Partners has a proven track record of
providing financial solutions to companies in the wholesale,
retail, and consumer goods sectors, focusing on fostering
sustainable growth and success. The firm's strength and
affiliations make SACP an ideal lending partner, adding value and
support to take businesses to the next level.
SB360 Capital Partners and Ares Commercial Finance played a
pivotal role in providing the total financing package extended to
Backcountry. Aaron Miller, President
of SB360, emphasized the strategic advantage of their involvement:
"As an affiliate of the Schottenstein organization with significant
expertise in collateral, SB360 was able to offer added flexibility
in structuring this type of financing. Collectively, we could
better tailor the solution to meet Backcountry's unique needs." He
continued, "This deal also afforded us an exciting opportunity to
collaborate with Ares Commercial Finance, a lender that shares our
vision and approach, creating a powerful partnership in delivering
this financing."
About Second Avenue Capital Partners LLC –
Second Avenue Capital Partners, LLC (SACP), a Schottenstein
Affiliate, specializes in asset-based loans for the broader retail
and consumer products industry. Serving middle-market companies,
SACP leverages the experience of retail operators, product
merchants, and lenders to deliver customized capital solutions. A
unique merchant perspective allows SACP to recognize and unlock
value in assets other capital providers often overlook or do not
understand. The firm's tailored financial solutions are a vital
resource for clients seeking capital to effectuate strategy and
achieve financial objectives. Learn more at sacp.com.
About SB360 Capital Partners – SB360 Capital
Partners (sb360.com), a Schottenstein Affiliate, is one of
North America's leading asset
realization and merchant banking firms. The firm invests equity
capital to support growth opportunities, fund business turnarounds,
and provide liquidity to businesses navigating change. SB360
encompasses business groups involved in advisory services, asset
disposition, luxury diamond and jewelry assets, new store sets, and
commercial real estate advisory and investment. The firm's lending
arm, Second Avenue Capital Partners, provides asset-based loans for
middle-market companies. SB360's principals hold extensive
financial interests in internationally recognized retail and
wholesale companies, consumer brands, financial service operations,
and commercial, residential and industrial real estate
properties.
About Ares Commercial Finance - Ares Commercial
Finance ("ACF") is the commercial finance platform of Ares
Management Corporation. ACF provides credit facilities up to
$300 million to middle market and
lower-middle market companies. ACF addresses a wide scope of
industries including manufacturing, distribution, wholesale, retail
and consumer products, and service. Leveraging the breadth and
experience of the Ares platform, ACF works with borrowers to
deliver creative, flexible, and customized financing solutions for
a variety of financing needs: general refinancing, working
capital/growth, acquisitions, restructuring/turnaround situations,
debtor-in-possession/exit financing, and special accommodation
financing. For more information on ACF visit
www.arescommercialfinance.com.
About Ares Management Corporation - Ares
Management Corporation (NYSE:ARES) is a leading global alternative
investment manager offering clients complementary primary and
secondary investment solutions across the credit, real estate,
private equity and infrastructure asset classes. We seek to provide
flexible capital to support businesses and create value for our
stakeholders and within our communities. By collaborating across
our investment groups, we aim to generate consistent and attractive
investment returns throughout market cycles. As of June 30, 2024, Ares Management Corporation's
global platform had over $447 billion
of assets under management, with more than 2,950 employees
operating across North America,
Europe, Asia Pacific and the Middle East. For more information, please
visit www.aresmgmt.com.
About CSC Generation Enterprise – CSC
Generation Enterprise (CSC) is an AI-enabled multi-brand platform
that acquires and transforms retailers into profitable,
digital-first, consumer-centric businesses. CSC's retail platform
is purpose built around its core M&A strategy and drives alpha
by encoding revenue growth, unit margin management, and other
expert-level retail practices into automation and AI. CSC owns and
operates more than 10 retail, eCommerce, and wholesale brands,
including Sur La Table, Backcountry, and One Kings Lane.
About Backcountry – Established in 1996,
Backcountry stands as a trusted cornerstone in outdoor retail,
known for its commitment to providing premium products and services
tailored to a variety of recreational pursuits—skiing,
snowboarding, biking, running, camping, hiking, climbing, paddling,
fishing, and beyond. For beginners and pros alike, Backcountry
sells nearly 800 esteemed brands, both online and across its nine
U.S. brick-and-mortar locations. This includes Backcountry's
in-house apparel line, which has produced several
performance-driven franchises known for quality and durability such
as Cottonwoods, Cardiac, Tahoe, Wasatch, Slickrock and more—each developed in
collaboration with Backcountry's athlete team and backed by its
team of Gearhead experts. With decades of experience, a broad
assortment of innovative products, and an unparalleled concierge
service, Backcountry is your one-stop-shop for every adventure at
any budget.
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SOURCE Second Avenue Capital Partners, LLC
