The Carlyle Group (Nasdaq: CG) will take candle maker Blyth Inc. (NYSE: BTH) private for $98 million in cash. The purchase price values the target at $6 per share. Blyth’s stock closed at $2.92 on Aug. 28.
Blyth, founded in 1976 and based in Greenwich, Connecticut, is known for making candles and other home-fragrance products under the PartyLite, Silver Star and Walter Drake brands. Blyth Chairman Robert Goergen and CEO Robert Goergen Jr., who own a combined 38 percent of the target, have agreed to tender their shares in the transaction.
“We expect Carlyle’s deep experience in global consumer businesses will help drive Blyth’s product innovation and growth goals,” says Carlyle managing director David Stonehill. Carlyle is funding the transaction through the firm’s $1.1 billion Carlyle Equity Oppportunity Fund middle-market buyout fund.
Carlyle's Blyth acquisition follows the purchase of cybersecurity data firm Novetta from Arlington Capital Partners for undisclosed terms. Blyth expands Carlyle’s mid-market presence. The firm’s other middle-market investments include: automotive repair center Service King; IT company ECI Software Solutions; and sports travel and events provider PrimeSport.
Houlihan Lokey Inc. (NYSE: HLI) and Wachtell, Lipton, Rosen & Katz are advising Blyth. Threadstone Advisors, White & Case and PriceWaterhouseCoopers are Carlyle’s advisers.