Publicly traded private equity firm American Capital Strategies Ltd. is adding a little style to its portfolio. The group last month invested $26 million in the buyout of European Touch Ltd. II, a manufacturer of pedicure appliances and salon furnishings, from Styling Technology Corp. American Capital provided the senior, subordinated and equity financing for the transaction. The Sage Group LLC represented the seller in the deal.
“European Touch is the top brand in salon appliances with an unmatched reputation for quality and service,” said Gordon O’Brien, a managing director at American Capital. “The company is capitalizing on the remarkable growth in the spa industry tied to long-term demographic patterns and household consumption trends resistant to economic downturns.”
Brien Rowe, a managing director and a founding partner of the Sage Group, said, “We were pleased to find a buyer capable of closing the acquisition at a favorable market value, while not requiring any third-party financing.”
The Sage Group served as exclusive financial advisor to European Touch.