![]() ![]() Headquartered in Omaha, Nebraska, Oriental Trading Company is one of the nation’s leading direct marketers of novelties, toys, party supplies and home décor. JP Morgan conducted the sales process on behalf of Oriental Trading Company and Brentwood with legal advice from Latham & Watkins. We continue to have significant confidence in Steve Frary, the team he has built and the company’s superior business model and look forward to the company’s continued growth with Carlyle as the majority investor."Ĭarlyle was advised by Wachovia with legal advice from Debevoise & Plimpton. OTC has been one of Brentwood’s most successful investments. Also, Brentwood has been a superb partner during the past six years, and we are very pleased to be able to continue to work with them."īill Barnum, co-founder of Brentwood Associates’ private equity effort, commented, "Since our investment in 2000, OTC has developed from a family-owned catalog operation into one of the leading direct marketing businesses in the U.S. Carlyle’s enthusiasm for our company, its global network and exceptional consumer experience will provide the best possible support to continue to expand our business and achieve our growth plans. Steve Frary, Chief Executive Officer of Oriental Trading Company, said, "This news could not be more positive for OTC. We are excited about this opportunity and look forward to working with Steve Frary and his accomplished management team." ![]() Carlyle’s global network, especially in China, will enable us to add value through enhancing vendor relationships and direct sourcing capabilities. The company has all the attributes we like in a consumer investment: leading market position, exceptional brand loyalty, extensive proprietary customer base, consistent growth and strong free cash flow. Horbach, Carlyle Managing Director and Head of the Consumer & Retail team, said, "Oriental Trading is an outstanding business with excellent growth prospects. OTC sources the vast majority of its merchandise from outside the U.S., primarily from China, through longstanding vendor and direct sourcing relationships. The Company enjoys strong brand loyalty based on more than 70 years in the business and a reputation for a huge selection of value-priced products for all occasions. In recent years, OTC has significantly grown its e-commerce business, with internet sales currently accounting for nearly half of total revenues. OTC has more than 18 million customers on file, mails 300 million catalogs annually, operates three internet websites and offers more than 25,000 product SKUs. The transaction, terms of which have not been released, is expected to close in the third quarter of 2006.įounded in 1932, OTC is the nation’s largest direct marketer of party supplies, novelties, toys, children’s arts and crafts, school supplies, home décor and giftware, and one of the largest catalog and internet retail operations in the U.S. Brentwood originally purchased the company in 2000 and will maintain a significant minority stake in the company. Washington, DC – Global private equity firm The Carlyle Group today announced that it has signed a definitive agreement to purchase Oriental Trading Company (OTC), an Omaha, NE-based direct marketer of party and school supplies, from private equity firm Brentwood Associates. ![]()
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