Eclipse Business Capital provided a $100 million credit facility to Kent Outdoors, a platform of outdoor brands with a product set spanning personal flotation devices, wakeboards, water skis, towable tubes and snowboards. The new ABL facility follows recent investments from Goldman Sachs and Comvest Partners for Kent Outdoors.
“We appreciate being trusted to deliver this critical financing on an expedited timeline. It was a pleasure partnering with such a select group — the company, Arete Capital Partners as well as term lenders including Goldman Sachs and Comvest,” Marty Battaglia, CEO of Eclipse Business Capital, said.
With the financial support of its backers, Kent Outdoors expects to make significant operational improvements and bring in new leadership.
“We appreciate Eclipse’s partnership approach; their organization worked expeditiously throughout and delivered the financing exactly as outlined. The capital investment is instrumental to maintaining solid partnerships with our key vendor partners and customers while allowing Kent the flexibility to also pursue new growth opportunities,” Lee Belitsky, executive chairman of Kent Outdoors, said. “The support also allows the company to continue to build our market share by attracting new marquee customers and maintaining long-term relationships with key suppliers.”
Belitsky joined Kent Outdoors as part of the capital investment, bringing experience in the sporting goods industry as a key executive who helped drive Dick’s Sporting Goods growth over the past 25 years. Additionally, Kent Outdoors recently appointed Rob Otto CFO. Otto joined the company after completing the sale of RW Designs, a wholesale and direct-to-consumer business where he served as the company’s CFO and chief operating officer. Prior that, Otto held CFO and COO executive leadership roles at multiple CPG companies, including Z Gallerie, Hudson Jeans, Seven For All Mankind and Affliction Holdings.
“We are encouraged by the commitment to Kent’s brands from its employees and stakeholders,” Kent Sowell, vice president of Goldman Sachs, said. “Coupled with new additions to the Kent executive leadership team, we are excited to support the company as it focuses on its next phase of growth.”
Kent Outdoors retained leaders of core divisions such as Dave Cook in the outdoors division and C.J. Vlahovich in watersports, both of whom have been with the company for more than 25 years. Additionally, Zack Eckert, who also has experience in the outdoor industry, has been promoted to general manager of the BOTE brand. Eckert has been with BOTE for more than five years, most recently as vice president of sales, and previously held various leadership positions with West Marine for more than 11 years.
“Kent is synonymous with outdoor sports and the pursuit of outdoor adventure,” Cook said. “Focusing on the company’s profitable core business lines that provide the greatest promise for long-term growth will help right the ship and navigate the company into calmer waters.”
In connection with the investment of capital and the management team coming onboard, Kent Outdoors performed a strategic review of its operating units and determined that it would continue to seek a buyer for its bike business, Kona.
“Within the Kent Outdoors family of brands, we pride ourselves on a robust legacy characterized by resilience and an unwavering ability to overcome hurdles, consistently emerging stronger in the face of adversity,” Vlahovich said. “While the path to improvement has been demanding, our devoted team remains steadfast in our conviction that Kent Outdoors is destined to continue as the foremost innovator in cultivating vibrant brands that elevate outdoor enjoyment for all.”
