Berkshire Partners Explores Exit for Implus Sporting Goods

Reporting: Dayna Fields, Emily Fasold

Berkshire Partners-backed Implus Corp. is pursuing a sale with William Blair as financial advisor, according to sources familiar with the matter.

The company generates roughly $70 million in EBITDA on revenue in the $350 million to $400 million range, according to two sources. The company is looking for a multiple of up to 9x, which could value it at approximately $600 million, the sources noted.

Financial sponsors are looking at the asset, one of the sources noted.

In 2015, Berkshire acquired Implus from Trilantic North America. In 2018, Ares Management Credit Group announced that it had served as administrative agent and lead arranger for a term loan to support the acquisition of SKLZ by Implus.

Durham, N.C.-based Implus owns 16 active lifestyle accessories brands that are sold in more than 60,000 retail outlets and 60 countries. Key brands include SKLZ, TriggerPoint, Balega, Harbinger, RockTape, Sof Sole and Spenco.

As of Sept. 30, business development company, or BDC, holders of Implus’ first lien term loan (SOFR+775 bps, 1% floor) due July 2025 include Ares Capital Corp., which held roughly $123 million in principal of the company’s outstanding debt, according to Octus data. Other holders are MSC Income Fund and Main Street Capital Corp.

As of June 30, Golub Capital BDC held a total of about $36 million of the debt, which was priced at SOFR+875 bps with a PIK.

In 2018, The Wall Street Journal reported that Implus was in the market with Robert W. Baird and Jefferies acting as sell-side advisors. No transaction was announced.

Implus and William Blair did not return requests for comment. Berkshire Partners declined to comment.