SnugZ USA, A Portfolio Company of Tower Arch Capital, Acquires Sweda Company
SALT LAKE CITY, Jan. 12, 2022 /PRNewswire/ -- SnugZ USA, LLC ("SnugZ"), a leading manufacturer of promotional products has acquired Sweda Company, LLC ("Sweda"), a City of Industry-based promotional and gifting products provider, combining two top-40 promotional products suppliers to enhance their ability to offer distributor partners an unparalleled product selection and the highest-quality service.
SnugZ President and CEO Brandon Mackay said, "We believe this acquisition of Sweda will further strengthen our ability to innovate new products, expand into additional product segments, and most importantly, take advantage of the similarities between both companies to better serve our loyal customers."
"I am thrilled about the combination of Sweda and SnugZ and know that our future, elevated together, is bright," said Jim Hagan, CEO of Sweda. "The synergies between our two companies, from our core values to our differentiators, will only strengthen our position in the marketplace. It is the perfect fusion of culture and creativity."
David Topham, a Partner at Tower Arch Capital, added, "We are honored to partner with Jim Hagan and the entire Sweda team. Sweda's innovation and commitment to serving their distributor customers has redefined what it means to deliver high quality and creative products. This next chapter of growth will be very exciting as we leverage the expertise of both businesses."
Based on 2020 promotional product sales, the combination of SnugZ and Sweda will create one of the top-10 largest suppliers and would provide customers with one of the most diverse product offerings in the industry. Mackay will remain CEO, and Hagan will stay on as president of Sweda.
Tower Arch was advised on the transaction by Gibson Dunn & Crutcher LLP and BDO LLP, with financing provided by Zions Bancorporation and East West Bank. Financial terms of the acquisition were not disclosed. For more information, visit www.snugzusa.com or www.swedausa.com.
About SnugZ USA, LLC
Founded in 1989, SnugZ is a pioneering promotional products manufacturer serving over 7,000 professional buyers in the promotional products sector. The company designs and manufactures a leading array of lanyard, identification, personal care, and gifting products. For more information, please visit www.snugzusa.com. www.snugzusa.com.
About Sweda Company, LLC
Sweda is a leading wholesale supplier, merchandiser, and marketer of gifting and promotional products. Sweda was founded in 1976 and is headquartered in City of Industry, California. For more information, please visit www.swedausa.com.
About Tower Arch Capital
Headquartered in Salt Lake City, UT, Tower Arch Capital is a lower-middle market private equity fund. Tower Arch focuses on partnering with and growing high-quality family and entrepreneur-owned companies to deliver long-term value for their management teams and investors. Tower Arch brings operational, consulting, and financial expertise to small companies to give them the tools they need to achieve their full potential. Target investments include control positions in entrepreneur and family-owned businesses with revenue between $20 million and $150 million or EBITDA between $5 million and $25 million. For more information, please visit www.towerarch.com.
