Global investment firm Platinum Equity announced the acquisitions of North Carolina-based Founders Sport Group (PPAI 244286, S1) and Augusta Sportswear Brands (PPAI 187246, S5).
- Both companies are suppliers of team uniforms, performance wear and fan apparel.
- Platinum Equity has been behind more than 400 acquisitions and claims more than $47 billion in assets under management.
- In 2022, Augusta Sportswear Brands faced a scary incident when its Mexico facility caught fire.
The two companies are expected to eventually join forces and become one combined company.
“Youth sports play an important role in society and participation has been shown to provide important psychological and social health benefits,” says Louis Samson, co-president of Platinum Equity. “We saw the potential to combine two established companies very rapidly and orchestrate a transaction that we believe leverages our unique integration and operational capabilities with the goal of improving those industry dynamics and ultimately bringing to life a better customer experience.”
The Transaction
In acquiring both companies, Platinum Equity has the opportunity to integrate both suppliers, combining their portfolio, expertise and resources.
“We believe that over time, integrating the two companies has the potential to further reduce customer turnaround times, create a more efficient supply chain and accelerate the impact of sublimation and other technologies throughout the ecosystem,” says Jason Price, managing director at Platinum Equity.
- The financial terms of the acquisition were not disclosed.
- Jostens (PPAI 809389, D1), a PPAI member distributor focusing on academic achievement, is also a Platinum Equity property.
For the time being, both companies will continue business as usual during what will be a transition and integration process with Platinum Equity.
“We believe bringing ASB and FSG together will create meaningful benefits for the company’s customers, end consumers and the youth sports apparel industry as a whole,” Price says. “Joining forces will create an expanded portfolio of brand and product offerings across the full sports and lifestyle apparel industry. It will make more brands available to more consumers in more communities.”