Lion Capital LLP
Lion Capital LLP is a British private equity firm specialising in investments in the consumer sector. Previous and current consumer brands owned by Lion have included Weetabix, Jimmy Choo, wagamama, Kettle Foods and AllSaints.
The firm is headquartered in London, England, and employs 30 investment executives across its London and Los Angeles offices.
The firm’s principals have invested approximately €6 billion in more than 30 businesses and more than 100 consumer brands.
History
The firm’s predecessor was launched in 1998 as the European affiliate of American private equity firm Hicks Muse Tate & Furst. Lyndon Lea and Robert Darwent separated the European affiliate from its ailing American parent, launching Lion Capital as an independent private equity firm. Lion Capital was founded in 2004 by Lyndon Lea, Robert Darwent and Neil Richardson with the goal of creating the leading investment firm focused on the consumer sector. In 2004, Lion Capital completed fundraising for its first private equity fund, Lion Capital Fund I, with commitments from institutional investors of €820 million. Over thirty institutions committed capital to Fund I.In April 2007, Lion Capital established a North American presence, opening an office in New York. That same year, Lion Capital raised its second private equity fund, Lion Capital Fund II, with approximately €2.0 billion of investor commitments.
In 2010, Lion Capital formed its third private equity fund, Lion Capital Fund III, which ultimately included capital commitments of €1.5 billion.
In October 2012, the North American office was relocated from New York to Los Angeles.
In May 2016, it was announced that Javier Ferrán will replace Franz Humer as Chairman of Diageo as of 1 January 2017 In November 2018, Lion Capital and Serruya Private Equity teamed up to acquire the Global Franchise Group from Levine Leichtman Capital Partners. In February 2019, Lion Capital acquired the DMC Group from BlueGem Capital. During the summer of 2019, Lion Capital reduced its participation in Authentic Brands Group to make room for BlackRock's majority-shareholding move.
Activities
Lion Capital seeks to invest in mid and large-sized companies selling branded products, including apparel, accessories and luxury goods, food distribution and specialty retail. Lion Capital’s directors have resisted diversification into other sectors, claiming that their strategy is to know more about less.Lion Capital’s team draws on its investing and operating expertise to identify consumer brands with growth potential and implement value creating strategies within these businesses, often through geographic expansion, category extension, product innovation or operating improvements. Lion Capital focuses on companies in Europe and North America.
On June 26, 2019, Chloe Sorvino, a reporter from Forbes magazine, reported that Lion Capital will invest $ 100 million in Gordon Ramsay Holdings Limited, to open 100 restaurants in the United States by the year 2024.
Lion Capital's portfolio has included some of the world's best known consumer brands:
Brand | Year acquisition | Partner | Price for acquisition | Year sold | Price sold |
Weetabix Limited | 2004 | £640 million | 2012 | £720 million | |
Jimmy Choo Ltd | 2004 | £100 million | 2007 | £225 million | |
Materne | 2004 | 2006 | |||
Wagamama | 2005 | £102 million | 2011 | £215 million | |
Orangina-Schweppes | 2006 | The Blackstone Group | 2009 | €2.6 billion | |
Kettle Foods | 2006 | $270 million | 2010 | $615 million | |
HEMA | 2007 | €1.3 billion | 2018 | ||
FoodVest | 2008 | £1.1 billion | |||
AS Adventure Group | 2008 | €263 million | |||
Russkiy Alkogol | 2008 | Central European Distribution Corporation | |||
American Apparel | 2009 | $80 million | |||
Bumble Bee Foods | 2010 | $980 million | |||
Picard Surgelés | 2010 | €1.5 billion | |||
AllSaints | 2011 | ||||
Alain Afflelou | 2012 | €740 million | |||
John Varvatos | 2012 | ||||
Good Hair Day | 2013 | £300 million | 2016 | £420 million | |
Pittarosso | 2014 | £295 million | |||
Spence Diamonds | 2015 | ||||
Loungers | 2016 | £137 million | |||
Great American Cookies | 2018 | Serruya Private Equity | |||
Round Table Pizza | 2018 | Serruya Private Equity | |||
Marble Slab Creamery | 2018 | Serruya Private Equity | |||
Pretzelmaker | 2018 | Serruya Private Equity | |||
MaggieMoo's Ice Cream and Treatery | 2018 | Serruya Private Equity | |||
Hot Dog on a Stick | 2018 | Serruya Private Equity |