2004 Investment Doubles in Value
DETROIT, March 17 /PRNewswire/ -- Huron Capital announced today that it has sold its portfolio company, Northern Cap Holdings, Inc. (d/b/a "Northern Cap & Glove") to strategic buyer totes>>Isotoner Corporation, a manufacturer and marketer of branded functional apparel accessories including gloves, hats, scarves, umbrellas, slippers, flip-flops and other products are marketed under the totes(R), Isotoner(R), Raines(R) and ESNY(R) names. Terms of the all-cash transaction were not disclosed.
Headquartered in Minneapolis, Minnesota, Northern Cap & Glove was founded in 1950 and sells its extensive product lines through all level of retail channels, including mass merchants, national chains, catalog and direct marketers, specialty retailers, branded apparel companies and department stores. The Company has licenses to market headwear, gloves and scarves under the Dockers(R), GoreTex(R) and Karen Neuburger(R) brand names in addition to its private label programs.
In 2004, brothers Ivan and Ken Rafowitz partnered with Huron Capital in order to tap into the firm's consumer products experience, executive networks and operations-orientation. Over the subsequent three-and-one-half years, Huron worked closely with management to deepen its team and built processes within the Company to expand its channels of distribution, extend its product lines and increase its brand, patent & technology portfolios. Through these initiatives, Northern Cap's revenue increased over 30% during Huron's ownership and reduced debt leverage by 50%. Michael R. Beauregard, a Partner with Huron Capital, commented that, "The combination of the Company's management depth and execution of strategic plans implemented post-closing allowed us to double our investment and provide a great return to our investors through a sale to a strategic buyer."
Ivan Rafowitz, CEO of Northern Cap & Glove, stated, "From the outset, the team at Huron Capital demonstrated a thorough understanding of our business and our markets. We were attracted to the firm's business development resources which made them a clear choice to pursue the 2004 recapitalization of our family-owned business. Ken and I look forward to continuing our strong relationship with Huron well into the future."
Huron Capital Partners LLC
Huron Capital is a leading private equity firm investing in lower middle- market companies. The firm typically invests between $10 million and $50 million in equity to sponsor management buyouts, growth initiatives, recapitalizations, and corporate spin-offs of well-positioned companies having revenues up to $200 million. Through its operational approach, Huron's strategy is to partner with strong management teams at niche manufacturing, specialty service, and value-added distribution companies that can be built through acquisition and organic growth.
Huron Capital manages over $600 million in equity through three private equity funds, The Huron Fund, L.P. ($72 million, vintage-2000), The Huron Fund II, L.P. ($185 million, vintage-2005), and The Huron Fund III, L.P. ($350 million, vintage-2008). Since its founding in 1999, Huron has acquired or invested in 36 companies in a variety of areas including home décor, print solutions, document management, specialty packaging, consumer products, ground passenger transportation services, specialty chemicals, medical products and services, building products, office furniture components, laboratory testing, and post-secondary education. The firm has generated top-quartile returns for its Limited Partners. With significant additional capital now in place, Huron is aggressively seeking new investment opportunities. For more information on Huron Capital, visit us at http://www.huroncapital.com/.
Huron Capital Partners LLC
