The Vitamin Shoppe Bought by Private Equity Firms

Two private equity firms – Kingswood Capital Management LP and Performance Investment Partners LLC – announced they are acquiring The Vitamin Shoppe (Secaucus, N.J.) from its bankrupt owner, Franchise Group Inc. Though the partners did not disclose terms of the deal in their news release, several news sources placed it at just under $200 million.

The company does business through 650-plus company-operated retail stores under The Vitamin Shoppe and Super Supplements banners, and via its website.

“We are excited to partner with The Vitamin Shoppe team and help them build upon the success the business has enjoyed over the last forty-eight years,” Kingswood Partner Michael Niegsch and PIP Partner Mark Genender said in the news release on the deal. “We plan to make significant investments in the company’s third-party brand relationships, research and development across The Vitamin Shoppe’s owned proprietary brand portfolio, upgrades to the store fleet and improvements to the omni-channel digital platform to deliver the best possible experience to customers.”

The transaction, which is expected to close later this quarter, is subject to customary closing conditions and regulatory approvals.

The Vitamin Shoppe’s former owner, Franchise Group, also owns Pet Supplies Plus, its Wag N Wash subsidiary and the rent-to-own Buddy’s Home Furnishings. It filed for bankruptcy last November, at which time it said it was closing its 357-store American Freight chain.