Falconhead Capital LLC, a private investment firm specialising in consumer-focused businesses in the leisure, lifestyle, sport and media categories, today announced the recapitalization of its portfolio company, Competitor Group Inc.
Headquartered in San Diego, Competitor Group is a leading endurance media and event entertainment company dedicated to promoting the sports of running, cycling and triathlon. Competitor Group media titles include: VeloNews, Inside Triathlon, Triathlete magazine and Competitor magazine.
Competitor Group’s senior secured credit facility, arranged by Golub Capital, rebalances the company’s capital structure. This ‘provides enhanced flexibility to facilitate organic and acquisitive growth initiatives, and establishes a supportive partnership with a new lender.’
According to Falconhead, Competitor Group remains conservatively financed under the new capital structure. As a result of attractive market conditions and the company’s strong financial performance, it will have improved debt terms and requirements. The recapitalization also involves a distribution to Competitor Group’s shareholders.
Since the initial formation at the end of 2007, Competitor Group has greatly expanded its platform and its national presence across the US, including increasing event participants by a 30% compound annual growth rate (CAGR).
In addition, Competitor Group’s media business now publishes four magazine titles – the aforementioned VeloNews, Inside Triathlon, Triathlete magazine and Competitor magazine – with a combined monthly circulation of over 800,000.
The company also holds a captive online endurance community at competitor.com, delivering over 1.5 million monthly unique visitors and 25 million page views.
David Moross, Chairman and Chief Executive Officer of Falconhead Capital, said "The successful recapitalization of Competitor Group reflects the significant progress and growth that the company has made.
“Falconhead and Competitor Group’s outstanding management team, led by Peter Englehart and Scott Dickey, believe that this financing is an attractive opportunity that will better position the company for continued success in the endurance sports industry."
