SSG Advises Thane International, Inc. in the Sale of Substantially All of its Assets in a Management Buyout
SSG Capital Advisors, LLC (“SSG”) acted as the investment banker to Thane International, Inc. (“Thane” or the “Company”) in the sale of substantially all of its assets in a management buyout. The sale was effectuated through a Canadian receivership proceeding and was approved by the U.S. Bankruptcy Court through a Chapter 15 bankruptcy filing. The transaction closed in December 2015.
Thane is a global, multichannel media and direct-marketing enterprise with a focus on the sale of unique consumer products. The Company airs direct response television programs to generate revenue from product sales and has access to hundreds of thousands of hours of media time. The Company develops compelling promotional programs with global appeal for consumer goods in the housewares, health and beauty, and fitness sectors. Thane is a fully integrated consumer products company, with the ability to develop, manufacture and distribute its products to its domestic and international customer base. With strategically-located facilities, the Company maintains a worldwide distribution platform that spans millions of consumers in over 100 countries.
Thane’s performance was challenged by the transforming media and retail landscape, in addition to changes in consumer behavior. In response to the Company’s challenges, management implemented initiatives geared toward transforming Thane by leveraging its expertise in television marketing to drive a multi-channel strategy through traditional retail channels and access to over 10,000 stores across the globe. The Company needed to strengthen its capital base to complete the transformation and provide for future growth.
SSG was retained as Thane’s investment banker to explore strategic alternatives, including a potential sale of the Company. Leveraging its experience in the consumer products industry as well as its relationships with consumer products-focused and special situations-oriented private equity firms, SSG conducted a comprehensive marketing program which resulted in a competitive bidding process for Thane. The Company was ultimately sold in a management buyout.
Other professionals who worked on the transaction include:
- David F.W. Cohen and Rachel C. Conway of Gowling Lafleur Henderson LLP, lead counsel to the bank group;
- Paul van Eyk and Pritesh Patel of Richter Advisory Group Inc., Canadian receiver to Thane International, Inc.;
- Gordon G. Raman of Borden Ladner Gervais LLP, counsel to Thane International, Inc.;
- Mark L. Desgrosseilliers, Morgan L. Patterson and Nicholas T. Verna of Womble Carlyle Sandridge & Rice, LLP, bankruptcy counsel to Thane International, Inc.;
- Alex F. Morrison of Ernst & Young LLP, financial advisor to Thane International, Inc.;
- Stanley W.L. Freedman of Aird & Berlis LLP, counsel to the buyer;
- Richard M. Beck of Klehr Harrison Harvey Branzburg LLP, bankruptcy counsel to the bank group; and
- David T.B. Audley and Michael T. Benz of Chapman & Cutler LLP, bankruptcy counsel to the bank group.