Tropitone Acquired

October 28, 2007  by in UnCategorized   

By Home Furnishings Business in Casual Furniture on October 2007 Irvine, Calif.-based Tropitone, a manufacturer of outdoor furniture, announced Friday it has been acquired by Pfingsten Partners, a private equity firm based in Deerfield, Ill.

According to an announcement, Pfingsten plans to build the business through a combination of organic growth, add-on acquisitions and the use of its Hong Kong office to increase offshore product sourcing. Terms of the deal were not disclosed. Tropitone and its Basta Sole brands are focused on the specialty retail and commerical sectors, including upscale hotels, cruise ships and country clubs.

Founded in 1954, Tropitone will remain headquartered in Irvine, Calif., and retain the more than 600 employees at its two factories in California and its factory in Sarasota, Fla. CEO Michael Echolds remains a significant shareholder and will continue to serve in his current role. Doug and Angella Baker, the company’s principal shareholders since 1992, will retire.

“Tropitone is an established player in an industry that is growing by more than 5 percent annually, and the fragmented nature of the industry offers ample opportunities for growth through strategies ranging from expanding product offerings and entering new channels to acquiring complementary businesses,” said John Underwood, managing director, Pfingsten Partners.