Denver-based Gart Capital Partners and Colorado Baggage Co. have teamed up to buy Dallas-based Bag’n Baggage out of bankruptcy for $10.5 million.


 


The deal will transform the Denver retailer from a one-state chain with 10 stores to a national retailer with 44 stores in 13 states and $40 million in annual sales. The resulting company will be called Colorado Bag’n Baggage and be run by Colorado Baggage President and Founder Peter Paradise and COO Tom Nelson.


 


Founded in 1973, Bag’n Bagagge had 34 stores in 12 states when it filed for bankruptcy in May. Colorado Baggage was founded in 1977 and sells higher-end backpacks, carry-on and wheeled luggage and duffle, sport, garment and messenger bags. It carries Eagle Creek, Jansport, Swiss Army, Timberland, Timbuk2 and Victorinox among other brands.


 


Gart Capital Partner Tom Gart told The Denver Post his private equity firm is “optimistic about the travel-and-leisure industry.”


 


Gart Capital invests in companies with annual revenues of $5 million to $200 million and EBITDA of $1 million to $15 million.