OREANDA-NEWS. June 10, 2015. Channel Control Merchants ("CCM or "Company"), an extreme value retailer
of secondary market inventories, announced today that they have
completed an equity financing with KKR, a leading global investment
firm. Financial terms of the transaction were not disclosed.
"We are pleased to have the backing of a sophisticated investment
partner who has deep industry expertise investing in the retail sector.
KKR understands our business well and shares our vision for the future.
This is an exciting new chapter for our growing retail and export
businesses and we look forward to our partnership with KKR," said
Robert
A. Roberts, CEO of Channel Control Merchants.
Owned by
Robert A. Roberts (CEO),
Steven Wisch (Chairman of the Board of
the Directors), and the Company's management team, CCM is an extreme
value retailer and exporter of brand sensitive secondary market
inventories specializing in the purchase and resale of store level
inventories from Fortune 500 and other well-known U.S. retailers and
manufacturers. The Company sells a wide variety of brand-name
merchandise across multiple categories at exceptional savings at its
more than 60 retail stores under the banners Dirt Cheap, Treasure Hunt
and Dirt Cheap Building Supplies.
"CCM is led by an entrepreneurial and accomplished management team and
the company offers an unmatched value proposition to corporations and
consumers. We are thrilled to partner with Rob, Steven, and the entire
CCM team as they look to extend the concept into existing and new
markets" said
Nate Taylor, a Member of KKR and Head of the Firm's
retail/consumer investment team.
For nearly four decades, KKR's private equity franchise has focused on
investing in quality companies and partnering with management teams to
help them grow. Since 1976, KKR has completed more than 260 private
equity investments in portfolio companies with a total transaction value
in excess of \\$505 billion as of March 31, 2015. When making private
equity investments, KKR seeks out strong business franchises, with
attractive growth prospects, and leading market positions for either
majority or growth-oriented stakes.
KKR has a long history of investing in and growing leading retail
companies. KKR is making the investment from its North American XI
private equity fund.
Robert Roberts,
Steven Wisch and the company's
management team will continue to be significant investors in the
business.
Goldman Sachs served as financial advisor and
Morrison Cohen served as
legal counsel to Channel Control Merchants. Citigroup served as
financial advisor and Simpson Thacher & Bartlett LLP served as legal
counsel to KKR.
About Channel Control Merchants
Channel Control Merchants, LLC is an extreme value retailer and exporter
of brand sensitive secondary market inventories. The Company sources
inventories from major retailers and manufacturers and processes the
merchandise through its reverse logistics facilities. The Company meets
its suppliers' specific geographic distribution requirements for resale
by selling through its more than 60 retail stores or through its export
operations to over 40 countries worldwide. The Company's retail division
has three banners: Dirt Cheap, Treasure Hunt and Dirt Cheap Building
Supplies. The Company's stores are located in Mississippi, Alabama,
Louisiana, Tennessee, Arkansas, Florida, Texas and California. The
stores provide a unique shopping experience by offering a wide variety
of brand-name merchandise across multiple categories under one roof at
exceptional savings.
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