02 Sep Atlas Advisors advised Kainos Capital on the divestiture of Fempro to First Quality Enterprises
Drummondville, Canada, August 24, 2015 — Kainos Capital, LLC (“Kainos”) today completed the sale of Fempro I, Inc. (“Fempro” or the “Company”) to a First Quality Enterprises, Inc. affiliate (“First Quality”). Atlas Advisors acted as exclusive financial advisor to Kainos and Fempro in the transaction.
Fempro is a North American manufacturer of feminine hygiene products with over 25 years’ experience. The Company offers a broad array of feminine hygiene products both under the Incognito® brand and for private label in addition to absorbent food pads. Fempro manufactures its product in its facility located in Drummondville, in the province of Quebec, and employs approximately 150 people. The Company is the supplier of choice for a multitude of flagship customers in North America.
First Quality and its affiliates are a diversified family of companies manufacturing a variety of products for adult care (incontinence and wipes), infant care (diapers and wipes), feminine care (sanitary pads and tampons), consumer paper products (paper towels and bath tissue), bottled water and engineered non-woven roll goods. Fempro’s complementary product lines will further diversify First Quality’s feminine hygiene product portfolio. In addition, the acquisition will provide First Quality with a strategic physical presence in Canada from which to expand its product offerings to the Canadian consumer.
The transaction represents a successful outcome for Kainos, who has realized a significant return on its investment within twelve months. Kainos, a middle market private equity firm focused on the food and consumer sector, was recently formed by Andrew Rosen, Robert Sperry and Sarah Ashmore Bradley. The Kainos team has extensive investment and operating experience in the industry, having invested more than $2 billion of equity in more than 40 transactions in the food and consumer sector with a total transaction value in excess of $7 billion.
This transaction highlights several of Atlas Advisors’ key strengths:
- An emphasis on top-notch deal execution and strategically-oriented client relationships: Atlas Advisors advised Mecyva Holdings, the previous shareholder of Fempro on the sale of the Company to Kainos in 2014. Kainos retained Atlas Advisors to assist in the sale of Fempro based on the value-added advisory Atlas Advisors provided in the previous transaction
- In-depth knowledge and experience in advising on and executing cross-border transactions; this represents Atlas’ 16th transaction including a Canadian counterparty
- Expert positioning and execution in the consumer sector in general, and in the personal care industry in particular
- Ability to deliver maximum value to shareholders through consummate execution
Other Atlas Advisors assignments in Canada include numerous transactions for international frozen food leader McCain Foods, including the sale of its North American frozen pizza business to German multinational food producer Dr. August Oetker, the acquisition of Kitchens of Sara Lee in Australia, the sale of Charcuterie la Tour Eiffel to Mecyva Holdings, the acquisition of the Lutosa Potato Division of PinguinLutosa and the acquisition of CêlaVita from Wernsing Group; Grupo Bimbo’s acquisition of Canada Bread, the sale of Minit Canada to a private investor consortium; the sale of Naya Waters to Catterton Partners and the sale of Danone Waters of Canada to Birch Hill Equity Partners; the sale of Laura Secord to Aliments Nutriart; and CI Capital Partners’ acquisition of KCP Income Fund, the parent of KIK Custom Products, among others.
Atlas Advisors is the marketing name for Atlas Advisors, LLC and Atlas Strategic Advisors, LLC. Atlas Strategic Advisors, LLC provides financial advisory services in connection with mergers, acquisitions and other similar transactions. Atlas Strategic Advisors, LLC is a wholly owned subsidiary of Atlas Advisors, LLC and a member of the FINRA.
None of the information contained in this release constitutes a recommendation, solicitation or offer by Atlas Strategic Advisors, LLC or its affiliates to buy or sell any securities, futures, options or other financial instruments or provide any investment advice or service.