Wellspring Capital Management LLC and Pamlico Capital announced that Wellspring has acquired Crosman Corporation, the maker of airguns and airsoft guns, from Pamlico. Crosman's management team, led by CEO Ken D'Arcy, will retain a significant ownership position in the company and continue to lead its growth in partnership with Wellspring.
Financial terms of the transaction were not disclosed.
Founded in 1923 and based in East Bloomfield, NY, Crosman is the leading manufacturer of airguns, airsoft guns and related category consumables. Crosman serves over 500 retail and distribution accounts that sell its products through more than 10,000 unique locations worldwide. Crosman had been owned by Pamlico and the company's management since 2007.
“Crosman has become the preeminent brand in airgunning,” said D'Arcy. “The company has a track record of producing and marketing high quality, innovative products and enjoys strong, longstanding customer relationships. Our new partners recognize Crosman's potential and will provide us the resources to pursue a number of exciting new growth initiatives. We look forward to partnering with Wellspring and continuing the outstanding success enjoyed by the Company to date.”
William F. Dawson, Jr., a managing partner of Wellspring, said, “Crosman is a unique opportunity to invest in a platform with a strong and established brand and significant growth potential through internal initiatives and acquisition. The company maintains longstanding relationships with premier sporting goods retailers and throughout its history its brands, innovative products and dependable service have fostered loyalty among retail partners and consumers. Ken D'Arcy and Crosman's world-class management team have a proven track record and we are excited to collaborate with them to further enhance the value of the business.”
Pamlico Partner Art Roselle said, “During our partnership with Crosman, the company's management team did an outstanding job of driving organic growth and enhancing the company's position as the global leader in the airgun and airsoft categories. The entire Crosman management team, led by Ken D'Arcy, Steve Upham, Bob Beckwith, Bob Hampton and Dan Schultz, generated a tremendous outcome for us and our limited partners over a highly-challenging period for the overall economy and, in particular, the consumer industry. We wish them continued success with Wellspring.”
Crosman and Pamlico were advised by Robert W. Baird & Co. (financial advisor) and Alston & Bird LLP (legal advisor). Wellspring was advised by Paul, Weiss, Rifkind, Wharton & Garrison LLP (legal advisor).
