Strategic deal accelerates the company's expansion into a next generation multi-brand platform
PICKERINGTON, Ohio, June 11, 2024 /PRNewswire/ -- RG Barry Brands (RGB), a multi-brand management platform, is pleased to announce its acquisition by Marubeni Growth Capital US (MGCU), a consumer-focused growth equity investment platform in the US and a wholly-owned subsidiary of Marubeni Corporation (TYO:8002) (Marubeni). This strategic deal marks a significant milestone for RGB, positioning the company for accelerated organic and inorganic growth. As the inaugural investment of Next Generation Corporate Development Division of Marubeni in the US, this partnership underscores a shared commitment to innovation in the consumer goods sector and positions RGB as the cornerstone of a next generation multi-brand platform.
Florence Melton introduced foam to footwear when she created the Dearfoams brand in 1947. Today, RGB is a consumer-driven, multi-brand management platform. RGB's foundation is comprised of strong brands and an exceptional management team led by Chief Executive Officer, Bob Mullaney. Since joining the company at the end of 2017, Mullaney has successfully transformed a transactional business into a strategic brand platform producing double-digit compound annual revenue and EBITDA growth. RGB includes Dearfoams, Baggallini, Columbus Product Group and Planet A.
"Partnering with MGCU and Marubeni, who are positioned to make strategic investments in growth companies aiming to scale, is a testament to the strength of RGB and the unwavering commitment of our team," said Mullaney. "This strategic deal unlocks enormous potential to apply the RGB way to new brands and to bring sustainable innovation to footwear, accessories, and adjacent categories. We are very excited to partner with MGCU and Marubeni, and to realize RGB's boundless potential."
RGB will capitalize on its core assets to develop new capabilities that utilize ecological innovation as a business accelerant. This acquisition will empower RGB's growth through strategic investment in the Dearfoams, Baggallini, and Planet A brands. Additionally, it will enable RGB to leverage its operational capabilities to drive growth through targeted acquisitions.
Launched in 2022, MGCU is an initiative of the Next Generation Corporate Development Division of Marubeni and was founded to capitalize on the megatrends in the consumer sector.
"Investing in RGB is a strategic milestone for Marubeni and signifies a unique opportunity to align with an industry leader," stated Toshihiro Fukumura, Executive Officer, Chief Operating Officer, Next Generation Corporate Development Division. "By supporting RGB's strategic initiatives and a strong management team, we are not only fostering their continued success but also strengthening our own portfolio and commitment to innovation."
"MGCU was attracted to RGB's unique combination of authentic heritage brands, operational acumen and strong omnichannel distribution network," commented Taylor Rettig, MGCU's President. "We are looking forward to partnering with Bob and the management team to accelerate the Company's growth, amplify the brands, and to identify strategic opportunities to add additional brands under the RGB umbrella that would benefit from the robust infrastructure of the platform."
The acquisition closed June 4, 2024, following customary regulatory approvals. As part of the transaction, Blackstone will fully exit its ownership position and Mill Road Capital will maintain a minority equity stake.
About RG Barry Brands
RG Barry Brands (RGB) is a consumer-driven, data-informed, multi-channel, digitally led brand management platform developed to accelerate growth and innovation for lifestyle consumer brands. Founded in 1947 by Florence Melton, RGB introduced a range of comfortable lifestyle products under the Dearfoams brand, capturing the essence of comfort with their slippers. Today, Dearfoams has evolved into the leading slipper brand in the United States, expanding its product line to include comfortable footwear and various lifestyle products. Building on this success, RGB diversified its portfolio with the acquisition of Baggallini in 2011, broadening its focus to create a platform of brands that offer Earth-first, solution-oriented products. Today, RGB Brands include Dearfoams, Baggallini, Columbus Product Group, and Planet A. For more information, visit www.rgbarry.com.
About Marubeni Corporation and Marubeni Growth Capital US
Marubeni Corporation, headquartered in Tokyo with a presence in 67 countries and 131 branches and offices worldwide, established the Next Generation Corporate Development Division in 2022 to capture the growth of consumer businesses in Southeast Asia and the US, aiming to build a new consumer platform to help drive Marubeni's growth in 2030 and beyond. Marubeni Growth Capital US was formed in 2023 under Next Generation Corporate Development Division as an investment platform focused on investing in the consumer sector in the US. For more information, visit www.marubeniconsumer.com.
SOURCE RG Barry Brands