Purchase Capital Completes Sale of OWYN to Simply Good Foods
Purchase Capital has finalized the sale of OWYN, a prominent plant-based RTD protein shake brand, to Simply Good Foods (NASDAQ: SMPL). Mark Olivieri, Senior VP and GM of OWYN, expressed gratitude for investor support and highlighted the brand's exponential growth, national expansion, and thriving eCommerce platform. Nicholas J. Singer, Founder and Managing Partner of Purchase Capital, praised the leadership and management team for their achievements and expressed confidence in OWYN's future success under Simply Good Foods. Houlihan Lokey acted as OWYN's financial advisor, while Greenberg Traurig provided legal counsel.
- OWYN's exponential growth and status as the fastest growing RTD protein shake brand.
- Successful national expansion and robust eCommerce business.
- Leadership praise and confidence in continued success under Simply Good Foods.
- Houlihan Lokey and Greenberg Traurig's involvement as financial and legal advisors, respectively.
- No immediate financial terms or impact on SMPL's stock price disclosed.
- Potential shareholder dilution if Simply Good Foods issues new shares for the acquisition.
Insights
The acquisition of OWYN by Simply Good Foods Company represents a significant consolidation in the plant-based protein market. This merger could strengthen Simply Good Foods' position in the growing health and wellness sector, driving both revenue growth and market share. With OWYN's established brand and eCommerce success, Simply Good Foods can leverage this integration to boost its product portfolio and diversify its consumer base.
From a financial perspective, investors should look at the potential for synergies resulting from this acquisition. Cost efficiencies in production and distribution, combined with broader market access, could significantly enhance profitability. However, there are also risks related to integration costs and realizing these synergies in the estimated timeframe. Monitoring Simply Good Foods’ performance in the coming quarters will be essential to assess the true financial impact.
OWYN's acquisition is notable given its status as the fastest growing RTD protein shake brand. This move aligns with the increasing consumer demand for plant-based and health-conscious products. Market trends show a sustained shift towards healthier lifestyles and OWYN's established market presence positions Simply Good Foods favorably to capitalize on this trend.
From a market perspective, this acquisition could lead to enhanced brand visibility and customer loyalty. It also sets the stage for potential new product innovations and expansions in different geographic markets. However, competition in the plant-based protein sector is fierce. Simply Good Foods will need to differentiate OWYN's offerings to maintain and grow its market share effectively.
“We are grateful for the support of our investors that helped build OWYN into the fastest growing RTD protein shake brand in the market1,” said Mark Olivieri, Senior Vice President and General Manager OWYN. “The team drove national expansion, built a thriving eCommerce business, and created mainstream appeal. I am excited to continue our growth journey.”
“We are proud of our accomplishments with OWYN under the steady leadership of Mark and the management team,” said Nicholas J. Singer, Founder and Managing Partner of Purchase Capital. “We look forward to OWYN’s continued success under the ownership of Simply Good Foods.”
Houlihan Lokey, Inc. served as a financial advisor to OWYN and Greenberg Traurig, LLP served as its legal advisors.
About Purchase Capital
Purchase Capital is an investment firm that provides patient capital for private and public companies that have significant potential for long-term value creation. The firm looks broadly across asset classes and industries, takes a concentrated approach toward deploying capital, and is flexible with regard to debt or equity. Purchase Capital serves as the family office to veteran investor and entrepreneur Nicholas J. Singer, and as a sponsor to leading institutional investors, endowments and foundations. For more information, please visit https://purchasecapital.com.
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Source: Total MULO Dollar Sales for the 52 Week Period Ending March 24, 2024 |
View source version on businesswire.com: https://www.businesswire.com/news/home/20240613955126/en/
Media
For Purchase Capital:
Prosek Partners
pro-PurchaseCap@prosek.com
Source: Purchase Capital LLC
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