TRIVEST PARTNERS ACQUIRES DIRECTBUY, INC. REPRESENTS FIRST INVESTMENT FOR TRIVEST FUND IV
MIAMI, FL - (December 19, 2007) Trivest Partners ("Trivest") today announced that it has acquired DirectBuy, Inc. ("DirectBuy" or the "Company"), the nation's largest franchisor of membership-based consumer buying centers. Trivest and the DirectBuy management team, led by CEO Scott Powell, acquired the Company directly from its founders. Mr. Powell and his team will continue to lead DirectBuy's daily operations. The DirectBuy transaction represents the first portfolio company investment for Trivest Fund IV.
Founded in 1971, DirectBuy oversees 149 franchised centers across the U.S. and Canada. DirectBuy members have the ability to purchase a broad selection of products directly from manufacturers at wholesale prices, saving on average 30% - 50% versus traditional retail prices. As a rapidly expanding alternative distribution channel (over $700 million of merchandise purchased by members in fiscal year 2007), DirectBuy is a valuable partner for more than 1,000 manufacturers across five primary product categories, including home improvement, furnishings, entertainment & outdoor, flooring and accessories.
Scott Powell, DirectBuy's CEO stated, "As we continue to expand our business, Trivest's considerable experience in the franchising arena should benefit our franchisees, vendors, members and employees. In addition, aligning ourselves with a proven financial partner such as Trivest provides a solid foundation to sustain our growth well
into the future."
Troy D. Templeton, Trivest's Managing Partner stated, "The DirectBuy transaction is consistent with Trivest's long-standing investment strategy to acquire well run, founder-owned businesses. We firmly believe that DirectBuy represents a great first investment for Trivest Fund IV."
Jamie Elias, a partner at Trivest added, "Trivest was particularly attracted to DirectBuy due to the fact that all stakeholders (members, vendors and franchisees) realize considerable value. Members realize meaningful savings compared to retail, vendors gain access to a highly profitable, alternative distribution channels and franchisees benefit from a compelling return on their investment."
Trivest, a private investment firm, is a leading provider of equity for middle-market corporate acquisitions, recapitalizations and growth capital financings. Since its founding in 1981, Trivest has sponsored nearly 140 acquisitions and recapitalizations, totaling more than $3.5 billion in value.