2010Sonenshine Partners Advises 1-800 CONTACTS, Inc. on Sale to Fenway Partners
Company Press Release
September 6, 2007
New York, NY - Sonenshine Partners LLC today announced that 1-800 CONTACTS, Inc. ("1-800 CONTACTS" or the "Company") has completed the sale of the Company to affiliates of Fenway Partners, LLC, pursuant to which Fenway Partners will acquire 1-800 CONTACTS for $24.25 per share. The total value of the transaction is approximately $340 million. Sonenshine Partners acted as financial advisor to 1-800 CONTACTS in this transaction.
Jonathan Coon, Chief Executive Officer of the Company, remarked, "We believe this transaction with Fenway Partners is the right decision for our stockholders, our Company, our employees, and our customers. This transaction will not only provide significant premium value for our stockholders, but will allow the Company to pursue its long-term goals with the flexibility and long- term focus of a private company."
Tim Mayhew, Managing Director of Fenway Partners, said, "1-800 CONTACTS is a terrific business that fits well with our investment strategy. We look forward to working with Jonathan Coon, Brian Bethers and the entire management team to support the Company's growth."
Brian Bethers, President of the Company, added, "We also look forward to working with Fenway Partners. They understand our business, share our commitment to customer service, and support our investment in advertising for growth."
Sonenshine Partners LLC served as financial advisor to 1-800 CONTACTS' Board of Directors in connection with this transaction, and Kirkland & Ellis LLP acted as legal advisor to the Board of Directors. J.P. Morgan Securities Inc. and JPMorgan Chase Bank provided commitments for the debt financing for the transaction.
1-800 CONTACTS offers consumers an attractive alternative for obtaining replacement contact lenses in terms of convenience, price, and speed of delivery. Through its easy-to-remember, toll-free telephone number, "1-800 CONTACTS" (1-800-266-8228), and its Internet web site, http://www.1800contacts.com/, the Company sells all of the popular brands of contact lenses. 1-800 CONTACTS offers products at competitive prices, while delivering a high level of customer service.
Fenway Partners, LLC is a middle market private equity firm with offices in New York and Los Angeles and $1.7 billion under management. Fenway companies typically have leading franchises and operate in two core industry segments, branded consumer products and transportation/logistics. With significant knowledge and success investing in these industries, Fenway has built a strong reputation for its hands-on approach to supporting its portfolio companies which include sporting goods manufacturer Easton Bell Sports, school yearbook and class ring manufacturer American Achievement, leading global supplier of mobile computing cases and accessories Targus International, expedited ground transportation provider Panther Expedited Services and intermodal logistics service provider RoadLink USA.
Sonenshine Partners is a leading independent investment bank focused on providing integrated strategic, financial and corporate advisory services. The firm was founded in 2000 and is headquartered in New York City.