Z Capital Partners-Backed Twin Star Home Acquires TK Classics
Establishes a Market Leader with Complementary Lines in Outdoor Living and Further Accelerates Market Presence
DELRAY BEACH, Fla., Jan. 27, 2020 /PRNewswire/ -- Twin Star Home ("Twin-Star" or the "Company"), the market leader in award-winning design and manufacturing of home furnishings and in-home electric fireplaces, today announced the acquisition of TK Classics, a leading designer and manufacturer of design-rich outdoor furniture, which includes upholstered seating, dining tables, bars and accessories. Terms of the transaction were not disclosed.
With a strong focus on customers and creativity, TK Classics has established itself as a top designer and distributor of outdoor furniture and heating products at affordable prices. TK Classics is headquartered in West Sacramento, California, with manufacturing capabilities in China and exclusively sells to customers via retailers and direct-to-consumer e-commerce.
The strategic acquisition of TK Classics significantly increases Twin Star's positioning as a market leading home furnishing platform throughout North America and expands its leadership and lifestyle product portfolio to outdoor living. The combined company has a diverse product offering, which effectively caters to a wide array of home furnishing purchasing partners among its consumer end markets, and leverages a powerful distribution network with unique capabilities to serve and scale the e-commerce channel.
"As the line between indoor and outdoor living continues to blur, we are pleased to add another industry leader to our innovative product portfolio," said Lori Gonzalez, Twin Star Home's Chief Executive Officer. "TK Classics has a strong track record of developing quality products that delight consumers and garner positive reviews. The seasoned management teams at Twin Star and TK Classics are well-positioned to operate at a larger scale, and we look forward to building upon the strength of our brands and market leadership in bringing comfort and warmth to consumers' homes. We have a powerful operating infrastructure that weaves through all functional areas and will support our continued growth and value creation."
"This acquisition provides the foundation to unlock TK's future growth potential, and will help take our already thriving business to the next level of performance," said Jennifer Hayes, Founder and Chief Executive Officer of TK Classics. "I am pleased to find an acquisition partner who shares TK's core principles of providing competitively priced, beautiful, innovative home furnishing products that bring family and friends together and enhances their personal lifestyle experience."
"We have been looking for the right acquisition for many years and TK Classics is a valuable addition to Twin Star's impressive portfolio and we are thrilled to welcome their team to the Z Capital portfolio," said James Zenni, Founder, President and Chief Executive Officer of Z Capital. "This acquisition creates a leading North American home furnishings platform that is diversified across categories, customers, geographies and channels, and is ideally situated to execute on attractive growth opportunities in the highly fragmented home furnishings market."
"This transaction underscores Twin Star's commitment to anticipating and meeting consumers' evolving design preferences and shopping habits," said Rahul Sawhney, Senior Managing Director of Z Capital. "Twin Star has built an incredibly strong platform that is able to adapt to today's consumer through an expanded product portfolio and significant investment in e-commerce capabilities, product innovation and customer insights. TK Classics adds highly attractive complementary product lines, each capturing elements of design, technology and multi-functionality that our customers have come to expect from Twin Star. We are looking forward to working together to achieve our shared growth objectives."
TK Classics will maintain operations in West Sacramento, California. The combined company will be headquartered in Delray Beach, Florida.
About Twin Star Home
Twin Star Home is an award-winning designer and manufacturer of design-rich home furnishings for indoor and outdoor living and is the North American market leader in electric fireplaces. Indoor products include living room, home office and bath furniture, many with integrated media solutions. Outdoor living products include upholstered modular seating collections, dining tables, bars, fire pits and accessories. Twin Star Home is a pioneer in the transformation of the outdoor furniture business model from traditional retailing into borderless e-commerce platforms. Focused on creating products that are functional, beautiful and affordable, Twin Star Home holds hundreds of product, design and technology patents and combines the latest trends with consumer-driven innovation. Consumers and retailers alike recognize Twin Star Home for its trusted national brands: ClassicFlame®, Duraflame, Bell'O, Tresanti, ChimneyFree and TK Classics. Find out more at www.twinstarhome.com.
About Z Capital
Z Capital is a leading, privately held global investment firm having approximately $2.8 billion of assets under management across complementary opportunistic, value-oriented private equity and credit businesses.
Z Capital's investors are some of the largest and most sophisticated global institutional investors including public and corporate pension funds, university endowments, foundations, sovereign wealth funds, central banks, and insurance companies. The Z Capital investment strategies are described at www.zcg.net
Contacts:
Twin Star Home
Lisa Cody
Vice President of Marketing
561-569-5579
[email protected]
Z Capital
Joele Frank, Wilkinson Brimmer Katcher
Jonathan Keehner / Julie Oakes / Kate Thompson
212-355-4449
SOURCE Z Capital Partners, L.L.C.
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