FOR IMMEDIATE RELEASE
Contact: Gus Spanos (415) 364-0300
JESSE.HANSEN LEADS ACQUISITION OF LARGEST U.S. SCHOOL FURNITURE MANUFACTURER
San Francisco, CA - February 13, 2003 - Jesse.Hansen&Co, a San Francisco-based private equity firm, announced today the acquisition of SAGUS International, Americas largest provider of school furniture. The transaction was led by Jesse.Hansen in concert with Harris& Hoimes, Key Principal Partners, and Leeds Weld. The Company, which has roughly $175 million in annual sales, was purchased for approximately $145 million in aggregate consideration. This included $105 million in senior and subordinated debt facilities underwritten by BNP Paribas and partially funded at close.
SAGUS International is the largest manufacturer and provider of school furniture in the United States, marketing its product lines under the Artco-Bell, American Desk, Midwest, CampbellRhea, LSI, Texwood and Holbrook brands. SAGUS also provides products to the healthcare, hospitality and commercial furniture markets.
"This combination of trusted brand names, a comprehensive offering of proven products, manufacturing excellence and superior distribution networks proved a compelling investment rationale for Jesse.Hansen," offered Gus Spanos, who led the transaction for Jesse.Hansen.
John Hansen, President of Jesse.Hansen, will serve as Co-Chairman of the Company. "SAGUS is an outstanding company with tremendous potential," said Mr. Hansen. "America continues to invest in educational infrastructure and SAGUS provides a key component of that infrastructure. We plan to leverage SAGUS' leading school furniture brands to grow the company in its core market and expand into others."
Jesse.Hansen&Co is a San Francisco-based investment firm that partners with management to invest in leveraged buyouts, recapitalizations, and expansion capital funding for emerging and established growth companies. Since 1986, the principals of Jesse.Hansen&Co have been responsible for about $150 million of private equity investments, and with over 25 years of senior operating experience, have been instrumental in aiding the growth of their investments in powerful consumer brands, including Peet's Coffee& Tea (NASD: PEET), Franzia wine, Wired Magazine, Bare Escentuals cosmetics, Performance Bicycle Shop, Bell Helmets, MD Formulations and Design Within Reach, among others. For more information please visit www.jhco.com.
