E-Commerce Acquisitions in 2020

Manna Pro Products, a St. Louis-based manufacturer and marketer of pet care and nutrition owned by investment vehicles managed by The Carlyle Group, has acquired Bullymake, a direct-to-consumer subscription box for heavy-chewing dogs. The acquisition expands Manna Pro’s direct-to-consumer and omnichannel presence, adding Bullymake’s roughly 1 million annual boxes and subscription capabilities to its portfolio.

A company backed by the Permira funds has agreed to acquire a majority stake in Boats Group from funds advised by Apax Partners. Boats Group, a Miami-based online classifieds marketplace and technology provider for the recreational marine industry (brands include YachtWorld, Boat Trader and boats.com), will partner with Permira to expand internationally and develop new products and services; financial terms were not disclosed.

FedEx Corporation completed its acquisition of ShopRunner, an e-commerce platform that connects brands and merchants with online shoppers. ShopRunner will operate within FedEx Dataworks to combine its pre-purchase, data-driven marketing and omnichannel capabilities with FedEx's logistics and post-purchase services to expand FedEx's e-commerce offering.

Funds advised by Gilde Buy Out Partners have agreed to acquire TonerPartner Group from private equity firm Invision and the founding family. TonerPartner, based in Hattingen, Germany, is a leading European online retailer of ink, toner and printer cartridges with more than 130 employees and over 4 million B2B and B2C customers across 16 countries.

Providence Equity Partners entered exclusive negotiations to acquire a majority stake in Groupe La Centrale, a leading French car classifieds and automotive marketplace, from Axel Springer. Providence will partner with management and retain Axel Springer as a minority shareholder to invest in the company’s digital platform, expand services to dealers and drivers, and drive organic growth; the deal was expected to close in Q1 2021 subject to customary conditions and regulatory approvals.

Swedish e-commerce group BHG Group has agreed to acquire Nordic Nest from family-controlled investor Nordstjernan, which is divesting its approximately 20% holding. Nordic Nest, a Sweden-based online home furnishings retailer with about 200 employees and sales across the Nordics, Germany, the UK, the Netherlands and South Korea, will join BHG’s portfolio to expand its home and furnishings e-commerce footprint.

Boston-based private equity firm Nonantum Capital Partners has acquired Rhode Island-based direct-to-consumer jeweler Ross-Simons. The deal will keep founder Darrell Ross and CEO Jim Speltz as owner-partners while Nonantum supports the company's next stage of growth and omnichannel expansion.

MidEuropa has acquired a majority stake in GWD Concept Sp z o.o., the operator of the Displate online metal-prints marketplace, from the company's founders as well as investors Credo Ventures and Miton Capital. The deal — financed by Bank Pekao — positions MidEuropa to support Displate's continued global expansion of its artist-driven e-commerce platform.

Carlson Private Capital Partners (CPC) completed two add-on transactions for its Lakeshirts/Blue84 platform: acquisition of certain assets of Elite Fan Shop (from Top of the World) and an investment in Yesterdays Sportswear. The deals expand Lakeshirts/Blue84’s e-commerce presence and add custom screen-printing and embroidery capabilities focused on resort, surf and wine-industry end markets.

Quadrivio Group, via its Industry 4.0 Fund, has acquired a majority stake in EPI, an Italian 'brick-and-click' sports merchandising and e‑commerce operator founded in Milan. The investment gives Quadrivio exposure to digital services and retail/e‑commerce capabilities in the sports market, where EPI operates official online stores and retail outlets for top football clubs and the NBA.

OdinAnswers, a Fairfield, Connecticut-based customer experience analytics startup, has acquired TagRobot, a Shopify app that automates tagging of orders and customers for Shopify and Shopify Plus merchants. The acquisition expands OdinAnswers' product capabilities and merchant footprint (adding TagRobot's hundreds of stores) and was funded from an earlier seed round led by Connecticut Innovations.

Provenance, a Los Angeles–based growth equity firm, has made a $40 million investment in MeUndies to support the brand’s next phase of growth. The capital will be used to expand product design, production and distribution capabilities, grow the MeUndies membership community, and accelerate omnichannel and international expansion.

1WorldSync, a portfolio company of Battery Ventures, has agreed to acquire CNET Content Solutions (CCS) from Red Ventures, with the transaction expected to close in Q4 2020. The deal expands 1WorldSync’s product content creation and syndication capabilities—adding CCS’s content-as-a-service, DataSource and ContentCast offerings to 1WorldSync’s Content Acceleration suite to serve retailers, manufacturers and marketplaces.

Wholesale Supplies Plus, an Incline Equity Partners portfolio company, acquired Rustic Escentuals and Elements Bath and Body to broaden its product assortment and service capabilities for commercial artisans. The add-on acquisitions expand WSP's fragrance, packaging and ingredient offerings to strengthen customer experience and share-of-wallet across its small-business customer base.

Retail Ecommerce Ventures (REV) acquired certain RadioShack brands and related assets to relaunch RadioShack as an online-first, ecommerce-focused business. The former owners retained a minority stake while REV plans to leverage its ecommerce expertise to grow RadioShack's global online presence.

Flat River Group, a portfolio company of Guardian Capital Partners, has acquired Optimum Fulfillment, a Peru, Illinois-based wholesale distributor and eCommerce fulfillment provider for toys, games and other consumer products. The acquisition is an add-on to Flat River Group’s platform and is intended to combine operational, technological and service capabilities to better support vendor partners and eCommerce retailer customers.

NorthEdge has made a majority investment to support a management buyout of Lights4fun, a Harrogate-headquartered direct-to-consumer e-commerce retailer of decorative lighting. The capital will be used to expand product range, accelerate UK market share, grow international presence (notably Germany and the US), and invest in marketing and data analytics to drive long-term customer relationships.

The Carlyle Group made a strategic growth investment of more than $250 million in Pharmapacks, an ecommerce marketplace enablement platform and large marketplace seller, valuing the company at approximately $1.1 billion. The capital is intended to accelerate Pharmapacks' growth by expanding fulfillment capacity, building out its data and analytics platform, and increasing the number of brand partners; J.P. Morgan served as lender and advisor on the transaction.

Key Capital Partners has made a £7 million minority growth investment in Bolton-based online darts retailer Darts Corner. The funding will support the company's expansion, including a new website and stock management systems, while founder Wayne Taylor remains CEO and Key takes a board seat.

Global investment firm KKR has agreed to acquire 1-800 Contacts, the largest U.S. contact lens retailer, from AEA Investors. The deal funds continued growth of 1-800 Contacts' direct-to-consumer platform and telemedicine capabilities, including products such as ExpressExam and recent acquisitions like 6over6 and Liingo.

LiveXLive Media, Inc. agreed to acquire 100% of Custom Personalization Solutions, LLC (CPS) in an all-stock deal valued up to $6.0 million, expected to close by December 31, 2020. CPS, a Addison, Illinois–based e-commerce personalization and licensed-merchandise business with roughly 70 employees and approximately $19 million of revenue in 2019, will expand LiveXLive's commerce capabilities and diversify revenue beyond content and advertising.

OvareVentures, the growth initiative of OvareGroup, has acquired BE Outfitter, a San Diego–based direct-to-consumer outdoor gear brand. The acquisition brings BE Outfitter into OvareVentures' DTC portfolio and will provide marketing, strategy and distribution support across the OvareGroup platform.

Stem Holdings, Inc. agreed to acquire all outstanding shares of Driven Deliveries, Inc. in an all-stock transaction approved by Driven shareholders and expected to close in Q4 2020. The acquisition brings Driven's cannabis e-commerce and delivery-as-a-service technology into Stem's vertically integrated cannabis and hemp business to expand Stem's logistics, distribution and omnichannel capabilities.

TZP Group, through TZP Capital Partners III, LP, made a strategic minority investment in SA Company, a Boca Raton-based direct-to-consumer outdoor apparel and accessories brand. Terms were not disclosed; founder and CEO Thomas DeSernia Jr. and the DeSernia family will remain in management and retain a meaningful ownership stake as TZP supports growth, brand awareness and expanded retail distribution.

HealthLynked Corp. (OTC: HLYK) acquired MedOfficeDirect, LLC, a Naples, Florida-based virtual distributor of discounted medical supplies, in a transaction valued at up to $6.0 million. Consideration included $2.7 million of HealthLynked common stock at closing, $0.7 million cash and up to $2.6 million of additional stock contingent on revenue milestones; the acquisition is expected to contribute approximately $1.5 million of revenue in year one and expand HealthLynked's offering into discounted medical supplies for its patient and provider members.

Affiliates of CriticalPoint Capital completed the acquisition of Shoes.com from Walmart on October 13, 2020. CriticalPoint plans to support Shoes.com's next phase of growth by optimizing product assortment, improving the e-commerce shopping experience, and leveraging operational capabilities.

Oakley Capital has acquired a majority stake in 7NXT GmbH, the owner of online fitness subscription platform Gymondo and DTC nutrition brand Shape Republic, from founder and CEO Markan Karajica and Crosslantic Capital. The founder will remain CEO with a significant minority stake; Oakley said it will partner with management to scale the business and accelerate domestic and international growth.

Brand Velocity Partners (BVP) acquired BBQGuys, the leading e-commerce retailer of premium grills and outdoor-living products, and affiliated manufacturer Blaze Outdoor Products. The transaction includes a group of strategic and institutional investors (including the Manning family and athlete investors) and WhiteHorse Capital provided term-loan financing and invested in the equity; BVP intends to apply its in-house marketing and brand resources to accelerate growth.

Digital Fuel Capital, a private equity firm focused on e-commerce, has acquired Seattle Coffee Gear, an omnichannel specialty retailer of coffee equipment, beans and repair services. Eagle Private Capital and Pine Street Capital Partners provided subordinated debt financing; founder Victor Gehlen will remain a significant shareholder and Mike Atkinson will continue as CEO as the company pursues accelerated growth through enhanced marketing and e-commerce capabilities.

Pattern, the PE-backed global ecommerce platform, acquired Enlisted Design—an award-winning industrial, packaging, branding and digital design agency—to integrate data-driven design into its ecommerce offering. The move (alongside Pattern’s acquisition of skincare brand Trophy Skin) follows Pattern’s $52M round of outside funding and is positioned as add-on acquisitions to deepen capabilities for Pattern’s brand partners.

NewSpring Growth, the growth equity strategy of NewSpring, has made a growth investment in FASHIONPHILE, a leading luxury recommerce e-commerce platform. The capital will be used to expand product assortment, bolster proprietary technology (including automation and AI for authentication), and scale the company's omnichannel footprint and fulfillment capabilities domestically and internationally.

Delta Galil Industries has signed an agreement to acquire online intimates retailer Bare Necessities, with the deal expected to close in the coming weeks and to be accretive to earnings next year. The acquisition expands Delta Galil's digital and e-commerce presence by bringing Bare Necessities' assortment of over 160 brands and expertise in online intimate apparel into its distribution channels.

L Catterton announced a $150 million private placement of non-convertible preferred stock plus warrants in Despegar.com, the leading online travel agency in Latin America. The minority growth investment is intended to support Despegar's regional leadership, operational improvements and strategic initiatives as travel recovers.

L Catterton’s Growth Fund has made a significant strategic growth investment in Public Goods, a digitally native, membership-driven direct-to-consumer seller of sustainable household and personal care products. The capital will support new product-category rollouts, expanded marketing and customer acquisition efforts, and retail distribution including an initial placement with CVS Pharmacy.

Splitty, the Tel Aviv-based hotel booking platform, has acquired the assets of rival online travel company Cancelon to accelerate global growth and combine Splitty’s machine-learning mixed-rates technology with Cancelon’s marketing reach and customer base. The asset purchase is intended to expand Splitty’s distribution, marketing capabilities and accelerate international expansion of its OTA offering.

The Spanish subsidiary of France-based Bruneau Group, with support from private equity firm Equistone Partners Europe, has acquired Viking Spain from Office Depot Europe. The deal transfers the Viking Spain distance-selling team based in Ourense to Bruneau as an add-on to strengthen Bruneau's e‑commerce office-supplies presence in Spain.

An investor group of private entrepreneurs — Charlie Johnson, Will Armenta and Ebi Lange — acquired 4FRNT Ski Company from Jason Levinthal on July 31, 2020. 4FRNT is a direct-to-consumer ski manufacturer that transitioned from traditional retail distribution to an ecommerce DTC model prior to the sale; terms were not disclosed.

Carlson Private Capital Partners led an investment in Pattern, a global ecommerce marketplace platform founded by Melanie Alder and David Wright, with co-investments from KSV Global, Ainge Advisory, and Duchossois Capital Management. The growth capital injection is intended to support Pattern’s expansion and its data-driven marketplace services that help brands grow profitability across marketplaces like Amazon, Walmart, eBay and international channels.

Gotham Cigars, LLC acquired A1Supplements, a long-running online sports supplement retailer founded by Nick Saliba. The deal brings A1Supplements under the ownership of Gotham Cigars' owner Manny Balani, who will serve as owner/CEO and plans to apply ecommerce analytics, automation and distribution efficiencies to grow the business while Saliba moves to an advisory role.

L Catterton's European fund has made a strategic growth investment in IAFSTORE, the leading Italian online supplements retailer headquartered in Brescia. The minority investment (terms undisclosed) will support IAFSTORE's expansion in the fast-growing Italian online sports nutrition and supplements market and help scale its owned brands including Yamamoto Nutrition.

Trivest Partners, a Miami-based private equity firm, has partnered with Fortress Brand, a New York–headquartered technology-enabled direct-to-consumer channel partner that manages brands on Amazon and other online marketplaces. The investment will support Fortress's growth, expand its service offerings, and enable the company to pursue acquisitions or partnerships with complementary digital marketing and e-commerce businesses.

L Catterton's Latin America fund made a significant strategic growth investment in Petlove, Brazil's largest online pet retailer, to accelerate the company's technological advancement, omni-channel expansion and growth initiatives. The investment will see L Catterton partner with founder Marcio Waldman and existing investors (SoftBank, Tarpon, Monashees) to broaden Petlove's offerings, support offline-to-online adoption across Brazil, and expand services for veterinarians and pet shops.

Canadian Business Growth Fund (CBGF) completed a growth equity investment in MaxSold Incorporated to accelerate the downsizing and estate-sale marketplace’s growth and cross-border expansion. The funding will support market expansion, product investment and increased scale across Canada and the United States.

Graham Holdings Company has acquired Framebridge, Inc., a Washington, D.C.-based custom framing company. Framebridge will operate under Graham Holdings to scale its direct-to-consumer, retail and manufacturing operations; financial terms were not disclosed.

Topspin Consumer Partners led a growth investment in reCommerce, a technology-enabled Amazon selling partner serving consumer brands. Balance Point Capital provided a unitranche loan facility and participated as an equity co-investor; reCommerce co-founders Taylor Hamilton and Jesse Tomalty retain significant stakes and will continue to lead the business.

Tecum Capital Partners joined Provariant Equity Partners, Centerfield Capital, and MWE founder/CEO James Cline Jr. in a recapitalization of Midwest Equipment Sales (MWE), a Columbus-based technology-enabled specialty distributor of outdoor power products and aftermarket parts. The investment provides capital and organizational support to fund MWE's next phase of growth while keeping founder James Cline Jr. in place as CEO.

all4golf has acquired Clubhouse Golf, the UK's largest independent online retailer of golf equipment, from Foresight, delivering a reported six-times return to the Foresight Regional Investment LP. Clubhouse will join all4golf to pursue pan‑European expansion and strengthened e-commerce leadership; terms were not disclosed.

AutoAnything, a portfolio company of Kingswood Capital Management, has acquired Morris 4x4 Center, an online retailer and global distributor of Jeep and 4x4 parts and accessories. The acquisition expands AutoAnything's e-commerce footprint in the Jeep/off-road enthusiast segment and leverages Kingswood's resources to grow the combined businesses.

Summit Partners has made a $50 million growth equity investment in Brooklinen to support the DTC home brand’s omni-channel expansion, deepen customer touchpoints and accelerate domestic and international growth. Brooklinen, founded and headquartered in Brooklyn by Rich and Vicki Fulop, will continue to be led by its founders; Citibank acted as an advisor to Brooklinen on the transaction.

Playboy Enterprises, Inc. (under parent PEI Holdings) acquired Phoenix-based e-commerce retailer Yandy.com on February 24, 2020. The acquisition expands Playboy's direct digital audience and e-commerce capabilities by adding Yandy's apparel, lingerie, swimwear and costume business and operations.