Brentwood Associates Acquires Sundance Catalog

Private equity firm Brentwood Associates has acquired a majority stake in women’s apparel and accessories, jewelry, and home furnishings seller Sundance Catalog from ACI Capital, Webster Capital and Sundance Catalog founder Robert Redford, who will retain minority stakes in the 23-year-old company.

Terms of the deal, which closed on July 6, were not disclosed.

Chris Kampe, managing director with investment firm Tully & Holland, said in an email investors received a 6-time return on their initial investment of capital while Sundance’s EBITDA is about $14 million on annual sales of more than $100 million. The transaction was valued between $100 million and $150 million, Kampe added.

Kampe said Sundance Catalog was attractive to Brentwood Associates because it met its acquisition criteria of direct-to -consumer sector, recognized consumer brand and EBITDA greater than $5 million.
Current president and CEO Matey Erdos will continue to run Sundance Catalog.

Eric Reiter, a partner at Brentwood Associates, said in a release that his company plans to build on Sundance’s successful multichannel distribution, and expand product offerings.

In an email, Reiter said growth will come from incremental catalog and ecommerce investment; expansion of existing categories and evaluation of new product categories such as activewear, resortwear, and men’s wear and through retail expansion.