Announcing Investment in Stanton Carpet Corporation
August 06, 2012
Minneapolis, Minnesota – Norwest Equity Partners (“NEP”), a leading middle market investment firm, has announced that it has made a significant majority investment in Stanton Carpet Corporation, (“Stanton” or the “Company”), a leading distribution company offering a variety of decorative high quality, branded soft floor covering products for the residential market.
Founded in 1980 by Sy Cohen, Stanton was built on the mission to create a brand synonymous with style and value for the decorative market. The Company has achieved that mission with what is recognized today as one of the nation’s leading distributors of decorative, high-quality branded carpet and custom rugs.
Offering award-winning brands, including Stanton Carpet, Royal Dutch Carpets, Antrim, and Rosecore, Stanton maintains an active base of more than 3,500 customers comprised of independent retail floor showrooms, architecture and design firm showrooms, and catalog and internet retailers.
Todd Solow, NEP Partner and Stanton board member, stated, “Stanton is a great fit with NEP’s investment strategy in the distribution industry, and we believe it is an excellent time to invest in the Company as it should benefit from the improving health of the housing and renovation market. Stanton provides tremendous value to its customers by providing excellent customer service and a differentiated sales and distribution model. With a proven track record of introducing new products and entering new markets, Stanton is well-positioned to grow, expand, and gain market share.”
“As a 30-year old family-owned business, our investment partnership with NEP marks an exciting time for Stanton. NEP has tremendous experience with investing in family-run businesses as well as significant industry expertise and resources in the distribution sector. On behalf of the Stanton team, we look forward to working closely with NEP,” stated Sy Cohen, Stanton Founder and Chief Executive Officer.
Jonathan Cohen, Stanton President and Chief Operating Officer, stated, “Stanton prides itself on providing value across the board. Our ability to consistently offer premium products with rapid order fulfillment is driven by our knowledge about customer needs, our strong supplier relationships, strategic inventory management, and highly efficient distribution capabilities. We look forward to achieving continued growth with NEP as our investment partner.”
Norwest Mezzanine Partners provided the mezzanine financing for this transaction, and additional financing was provided by GE Antares Capital, PNC Capital Markets, and NXT Capital. BB&T Capital Markets served as financial advisor to Stanton on the transaction. Prior to NEP’s investment, Stanton was a portfolio company of Linsalata Capital Partners, a private equity firm based out of Cleveland, Ohio.
Employing more than 100 people, Stanton is headquartered in Syosset, New York and has a distribution facility in Calhoun, Georgia. For more information, please visitwww.stantoncarpet.com.