CHICAGO, IL – Sheridan Capital Partners, a Chicago-based lower middle-market private equity firm, announced today the addition of Lone Star Distribution (“Lone Star”) to its portfolio through a growth equity recapitalization.
Lone Star, headquartered in Dallas, TX, is a national specialty distributor of sports nutrition and fitness products, including protein powders, creatine, joint and liver support products, muscle enhancers, workout supplements, sleep aids and immune boosters, vitamins, weight loss supplements, and energy boosters. Lone Star operates six distribution centers located in Dallas, Texas, Atlanta, Georgia, Indianapolis, Indiana, Shelton, Connecticut, Pompano Beach, Florida, and Las Vegas, Nevada. The Company has experienced tremendous growth that has outpaced an already attractive high single digit industry growth rate due to its wide range of products, broad geographic footprint, value-add “one-stop shop” model for retailers, and the Company’s commitment to partnering with best-in-class suppliers.
“Lone Star has an exceptional track record of growth due to the Company’s dedication to cultivating strong relationships with customers and vendors. Its ability to expertly navigate a complex and dynamic industry sector has turned the Company into a market leader,” said Jonathan Lewis, Partner of Sheridan Capital Partners. “We are excited to partner with Gary Giles, John Hoffman and the entire management team to support the company’s ongoing success and accelerate its expansion initiatives throughout the U.S.”
Gary Giles, the new CEO of Lone Star, said, “Sheridan Capital Partners represents a great strategic partner for us. Their innate understanding of the distribution and consumer markets, operational focus, and strategic guidance for growing companies will help us leverage and expand existing operations while maintaining the Company’s focus on leveraging strong customer and vendor relationships.” John Hoffman, former CEO of Lone Star, also added, “Sheridan’s insights and expertise lead us to believe they are the best partner for us and will help us realize our goals. Sheridan’s dedication to understanding our model and our strengths has emboldened our team and we look forward to our future with them.”
The transaction was led by Lewis, Sean Dempsey, and Chase Culbertson. Terms of the deal were not disclosed.
About Sheridan Capital Partners
Sheridan Capital Partners, headquartered in Chicago, Illinois, focuses on making private equity investments in leveraged buyouts, recapitalizations and large minority financings of growing lower middle market growth companies with enterprise values between $20 million and $150 million within the healthcare and consumer sectors.
Jonathan Lewis, Partner