D.A. Davidson Acts as Financial Advisor to Crown Crafts on its Strategic Acquisition of Baby Boom
D.A. Davidson & Co. has announced its role as financial advisor to Crown Crafts, Inc. (NASDAQ: CRWS) in its successful acquisition of Baby Boom Consumer Products, Inc. from The Betesh Group. Crown Crafts, a leading supplier of infant and toddler products in the US, aims to expand its product portfolio and market presence through this strategic move. Baby Boom, founded in 1988, is known for its innovative diaper bags and toddler bedding products.
The acquisition brings key licenses to Crown Crafts' portfolio, including popular brands like Ms. Rachel, Bluey, and Cocomelon. This move is expected to strengthen Crown Crafts' position in the bedding category and enhance its licensing and retail relationships. The transaction was supported by D.A. Davidson's Consumer Group, with debt financing provided by The CIT Group.
D.A. Davidson & Co. ha annunciato il suo ruolo come consulente finanziario per Crown Crafts, Inc. (NASDAQ: CRWS) nella riuscita acquisizione di Baby Boom Consumer Products, Inc. dal The Betesh Group. Crown Crafts, un fornitore leader di prodotti per neonati e bambini negli Stati Uniti, mira ad ampliare il suo portafoglio di prodotti e la sua presenza sul mercato attraverso questa mossa strategica. Baby Boom, fondata nel 1988, è conosciuta per le sue innovative borse per pannolini e prodotti per la biancheria dei bambini.
L'acquisizione porta licenze chiave nel portafoglio di Crown Crafts, tra cui marchi popolari come Ms. Rachel, Bluey e Cocomelon. Questa mossa si prevede rafforzerà la posizione di Crown Crafts nella categoria biancheria e migliorerà le sue relazioni con licenziatari e rivenditori. La transazione è stata supportata dal Consumer Group di D.A. Davidson, con finanziamenti debitori forniti da The CIT Group.
D.A. Davidson & Co. ha anunciado su papel como asesor financiero para Crown Crafts, Inc. (NASDAQ: CRWS) en su exitosa adquisición de Baby Boom Consumer Products, Inc. del The Betesh Group. Crown Crafts, un proveedor líder de productos para bebés y niños pequeños en EE. UU., busca expandir su cartera de productos y su presencia en el mercado a través de este movimiento estratégico. Baby Boom, fundada en 1988, es conocida por sus innovadoras bolsas de pañales y productos de ropa de cama para niños pequeños.
La adquisición aporta licencias clave al portafolio de Crown Crafts, incluyendo marcas populares como Ms. Rachel, Bluey y Cocomelon. Se espera que este movimiento fortalezca la posición de Crown Crafts en la categoría de ropa de cama y mejore sus relaciones comerciales y de licencias. La transacción fue respaldada por el Consumer Group de D.A. Davidson, con financiamiento de deuda proporcionado por The CIT Group.
D.A. Davidson & Co.는 Crown Crafts, Inc. (NASDAQ: CRWS)의 재정 자문 역할을 발표했으며, Baby Boom Consumer Products, Inc.를 The Betesh Group에서 성공적으로 인수했습니다. Crown Crafts는 미국의 유아 및 아동 제품의 주요 공급업체로, 이번 전략적 이동을 통해 제품 포트폴리오와 시장 존재감을 확장할 계획입니다. 1988년에 설립된 Baby Boom은 혁신적인 기저귀 가방과 아동 침구 제품으로 유명합니다.
이번 인수는 Crown Crafts의 포트폴리오에 Ms. Rachel, Bluey, Cocomelon과 같은 인기 브랜드를 포함한 주요 라이센스를 가져옵니다. 이번 조치는 Crown Crafts의 침구 카테고리에서의 위치를 강화하고 라이센스 및 소매 관계를 개선할 것으로 기대됩니다. 거래는 D.A. Davidson의 Consumer Group의 지원을 받았으며, The CIT Group이 부채 자금을 제공했습니다.
D.A. Davidson & Co. a annoncé son rôle en tant que conseiller financier pour Crown Crafts, Inc. (NASDAQ: CRWS) dans sa réussite d'acquisition de Baby Boom Consumer Products, Inc. auprès du The Betesh Group. Crown Crafts, un fournisseur de premier plan de produits pour bébés et jeunes enfants aux États-Unis, vise à élargir son portefeuille de produits et sa présence sur le marché par cette initiative stratégique. Baby Boom, fondée en 1988, est connue pour ses sacs à couches innovants et ses produits de literie pour enfants.
L'acquisition apporte des licences clés au portefeuille de Crown Crafts, y compris des marques populaires comme Ms. Rachel, Bluey et Cocomelon. Ce mouvement devrait renforcer la position de Crown Crafts dans la catégorie literie et améliorer ses relations en matière de licences et de vente au détail. La transaction a été soutenue par le Consumer Group de D.A. Davidson, avec un financement par emprunt fourni par The CIT Group.
D.A. Davidson & Co. hat seine Rolle als Finanzberater für Crown Crafts, Inc. (NASDAQ: CRWS) bei der erfolgreichen Übernahme von Baby Boom Consumer Products, Inc. von The Betesh Group angekündigt. Crown Crafts, ein führender Anbieter von Produkten für Säuglinge und Kleinkinder in den USA, beabsichtigt, durch diesen strategischen Schritt sein Produktportfolio und seine Marktpräsenz zu erweitern. Baby Boom, gegründet 1988, ist bekannt für seine innovativen Windeltaschen und Bettwäscheprodukte für Kleinkinder.
Die Übernahme bringt wichtige Lizenzen in das Portfolio von Crown Crafts, darunter beliebte Marken wie Ms. Rachel, Bluey und Cocomelon. Dieser Schritt wird voraussichtlich die Position von Crown Crafts in der Bettwäschekategorie stärken und seine Lizenz- und Einzelhandelsbeziehungen verbessern. Die Transaktion wurde von der Consumer Group von D.A. Davidson unterstützt, wobei die Finanzierung durch die CIT Group bereitgestellt wurde.
- Acquisition expands Crown Crafts' product portfolio in the juvenile products sector
- Adds key licenses including Ms. Rachel, Bluey, Cocomelon, and Paw Patrol to Crown Crafts' portfolio
- Strengthens Crown Crafts' leadership position in the bedding category
- Enhances Crown Crafts' licensing and retail relationships
- None.
Insights
Financial Implications: The acquisition of Baby Boom by Crown Crafts is a significant strategic move. This deal will likely enhance Crown Crafts’ portfolio and market presence. The immediate financial impact is positive because it broadens the company's range of products and strengthens its licensing and retail relationships. Given Baby Boom's established market share, Crown Crafts can expect an increase in revenue streams and market penetration.
Debt Financing: The involvement of CIT Group for debt financing indicates that the acquisition could add a substantial amount of leverage to Crown Crafts' balance sheet. However, given the potential for increased revenues, the debt burden may be manageable, provided the integration process goes smoothly.
Market Positioning: Baby Boom has been noted as an early disruptor in the diaper bag category. This acquisition positions Crown Crafts to capitalize on Baby Boom’s innovative designs and robust market presence. The integration of popular licenses like Ms. Rachel, Bluey, Cocomelon and Paw Patrol will likely attract a broader consumer base and increase brand loyalty.
Competitor Landscape: This move further solidifies Crown Crafts’ standing in the juvenile products sector. It not only diversifies their product range but also helps in creating a more comprehensive offering to their retailers and consumers. Competitors will have to innovate to keep up with Crown Crafts’ expanded portfolio, potentially leading to market shifts.
Operational Synergies: From an operational standpoint, the acquisition promises several synergies for Crown Crafts. Improving supply chain efficiencies and integrating technological systems between the two companies will be important for seamless operations. Baby Boom's innovative capabilities in design and product development can be leveraged to enhance Crown Crafts' existing lines.
Brand Integration: The tech aspect of integrating two companies can be challenging, especially in terms of aligning IT systems and processes. However, successful integration can lead to better inventory management, quicker go-to-market strategies for new products and improved customer experience through enhanced digital platforms.
D.A. Davidson & Co. announced today that it served as financial advisor to Crown Crafts, Inc. with the successful acquisition of Baby Boom Consumer Products, Inc., a leader in toddler bedding and an early disruptor in the diaper bag category, from The Betesh Group. (Graphic: Business Wire)
Headquartered in
“We have had a longstanding relationship with the consumer team at D.A. Davidson. They are very experienced investment bankers in the baby and motherhood categories and have provided Crown Crafts excellent support in helping evaluate and execute transactions,” said Olivia Elliott, Chief Executive Officer of Crown Crafts.
Founded in 1988 and headquartered in
With strong market presence across both the branded and licensed segments of toddler bedding and diaper bags, Baby Boom positions Crown Crafts to expand its product portfolio to cater to additional needs of customers. This acquisition not only broadens the company’s portfolio but enhances its team as well as appeal and relevance in the competitive juvenile products sector. The transaction will add key licenses to Crown Crafts’ portfolio including Ms. Rachel, Bluey, Cocomelon, Paw Patrol, and more.
Joe Schimmelpfennig, Head of Consumer Investment Banking at D.A. Davidson, commented, “We always enjoy working with Crown Crafts and believe this acquisition further strengthens its leadership position in the bedding category. This strategic move will enhance Crown Crafts’ product offering as well as licensing and retail relationships. We are proud to support its continued success.”
D.A. Davidson & Co. served as financial advisor and Smith, Gambrell & Russell, LLP served as legal advisor to Crown Crafts on the transaction. The CIT Group provided the debt financing for the transaction.
D.A. Davidson’s Consumer Group has a reputation for its depth of industry knowledge, breadth of capabilities, and tenacity of its senior professionals. Offering sector-specific expertise through a full-service platform, the team provides M&A, strategic advisory, and equity capital markets capabilities across several subsectors, including active & outdoor; infant & juvenile; consumer products & services; ecommerce & marketplaces; and food & beverage. Together with its European strategic partner, MCF Corporate Finance, D.A. Davidson originates and executes transatlantic M&A transactions under the brand of D.A. Davidson MCF International.
About D.A. Davidson Companies
D.A. Davidson Companies is an employee-owned financial services firm offering a range of financial services and advice to individuals, corporations, institutions, and municipalities nationwide. Founded in 1935 with corporate headquarters in
Subsidiaries include: D.A. Davidson & Co., a full-service investment firm providing wealth management, investment banking, equity and fixed income capital markets services, and advice; Davidson Investment Advisors, a professional asset management firm; and D.A. Davidson Trust Company, a trust and wealth management company.
For more information, visit dadavidson.com.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240723540293/en/
Deal Team Contacts
Joe Schimmelpfennig, Head of Consumer Investment Banking |
Steven Orr, Vice President |
Media Contact
Emily Roy
Prosek for D.A. Davidson
(646) 818-9232
eroy@prosek.com
Source: D.A. Davidson & Co.
FAQ
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