Australian mid-market firm Champ Ventures has acquired a significant majority stake in New Zealand outdoor equipment and clothing retailer Macpac. The current shareholders will retain a minority interest.
The transaction is expected to be completed by the end of January, Champ said. The value was not disclosed.
Champ Ventures, the sister fund to Champ Private Equity, is currently investing its seventh vehicle targeting equity investments of between A$20-80 million. The fund invests across industries taking minority and majority stakes in businesses at different stages of growth.
Champ Ventures Investment Trust Number 7 (CVIT 7) closed in July 2012 after 11 months in market on A$475 million ($342 million; €314 million) despite increased competition from Asia, the firm said.
Champ Ventures has previously invested in Australian fitness and leisure apparel retailer Lorna Jane. The investment was made in April 2010 through CVIT 6, which closed on A$300 million in April 2006.
Macpac’s sponsorship relationship with the New Zealand Alpine Team and its ongoing commitment to research and development, as well as product design, captured the private equity firm’s attention, said Paul Readdy, director of Champ Ventures.
In October 2014, Champ Ventures took a 32.5 percent stake in TR Group, a New Zealand truck and trailer leasing and rental company with a fleet of over 3,000 vehicles.
CVIT 7 has a diverse geographical investor base with more than half of funds raised coming from non-Australian investors, including 25 percent from Asia, 20 percent from the US, and 11 percent from Europe, according to a statement. Pension funds committed approximately 40 percent of the funds.