BOA Technology, the supplier of closure systems to numerous bike industry footwear, helmet and clothing makers has been acquired by Compass Diversified, an owner of leading middle market businesses.
Worth $454 million (excluding working capital), the deal captures the entirety of the business that, aside from catering for the cycling market, has deep reach in to snowsports, golf, hiking, court sports, workwear and medical.
The unique selling point of BOA Technology centres on the ability to fine tune fit. For example, where shoes would otherwise utilise problem-prone lacing, the Boa system relies on lightweight dials and wires positioned in anatomical positions to give a product a tailor made feel. As a result, the firm holds 160 patents globally.
“BOA’s disruptive, innovative and high-quality products are utilised by millions of consumers around the world, and we are pleased to partner with a true industry pioneer as the company builds upon its mission to advance human performance,” said Elias Sabo, CEO of Compass Diversified. “BOA has a proven, relentless focus on excellence, a unique culture and a passion for innovation, making the company an ideal addition to our diverse holdings. Leveraging CODI’s permanent capital base, we are continuing to strategically enhance our portfolio with rapidly growing companies like BOA in the branded consumer space. With significant potential for future growth across its major product categories, an in-depth understanding of consumer needs and preferences and efficient product development processes, we believe BOA is uniquely positioned to capitalise on the many opportunities ahead and increase market share across key industries.”
“Born out of a simple, yet innovative idea to dramatically improve the fit and performance of snowboard lacing systems, BOA has continued to push the boundaries of what is possible, developing new ways to improve performance across a range of products with the BOA Fit System,” said Shawn Neville, CEO of BOA. “This announcement is a testament to the incredible dedication of our global team and our great brand partners around the world, and we look forward to working closely with the talented team at CODI to build on our momentum. With significant operational experience, global resources and a proven track record of collaborating with and building leading branded consumer companies over the long term, CODI is the right partner for BOA as we enter this exciting next chapter in our growth story.”
Following the close of the transaction, BOA will continue to be led by Mr. Neville and its current leadership team. BOA will maintain its headquarters in Denver, Colorado.
The acquisition is expected to close within the next 45 days, subject to customary closing conditions. Harris Williams & Co. served as exclusive financial advisor to BOA.