Chicago Atlantic acted as administrative agent in support of the acquisition of Lionel, a designer and manufacturer of model trains and hobby products by Praesidian Capital and its portfolio company, Round 2, a designer, developer and marketer of model kits, die-cast collectibles and hobby products. Following the transaction, the combined organization will operate under the Lionel Brands Group name.
“Lionel and Round 2 represent two of the most respected names in the hobby industry, each with a long history of quality, craftsmanship, and brand strength,” David Enright, partner and head of direct lending at Chicago Atlantic, said. “This combination creates a scaled platform with meaningful opportunities for operational synergies and growth. We are proud to provide flexible capital to support the merger and partner with the management teams as they execute on their shared vision.”
Jason Drattell, founder and managing partner of Praesidian Capital, said, “Praesidian is pleased to partner with Chicago Atlantic on the acquisition of Lionel. Their team’s execution was instrumental in bringing this transaction to a successful close, and we look forward to working together to support Lionel’s next phase of growth.”
The combined company intends to capitalize on continued consumer demand for nostalgic, collectible and enthusiast-driven products.
