Sun Capital exits Gerber Childrenswear’s capital

Sun Capital Partners, Inc. has announced the sale by its affiliate of its investment in Gerber Childrenswear LLC to Providence Apparel Inc. Details on final price and other terms of the private transaction were not disclosed.

“Under our ownership, the Company has greatly improved its sourcing and distribution network, broadened its apparel product range and portfolio of brand licenses, and expanded the company’s retail reach and customer base both in the US and internationally. This progress has Gerber Childrenswear well-positioned for continued future growth and success,” said Sun Capital in a note issued Friday.

Prior to acquisition, Gerber Childrenswear operated as a division of Kellwood Company, from which they bought it as part of a 179 million dollars deal.

Sun Capital’s exit from Gerber Childrenswear is its fourth divestment this year

With the exit of the infants fashion brand, Sun Partners have completed their fourth divestment in the consumer sector this year, as stressed by ‘Private Equity News’. “A lot of the portfolio companies have matured to the point that they are ripe for sale," the equity firm says in an interview with the trade publication.

The children’s apparel brand was acquired from Kellwood to operate as a standalone entity in order to implement operating efficiencies, pursue channel and brand licensing expansion opportunities, and focus on the growth of its core infant and children’s apparel business, as the new owner explained.

“We are extremely proud of our effort, working closely with the management, to establish Gerber Childrenswear as a successful independent business, including building out the systems and infrastructure necessary for success,” said Marc Leder, Co-CEO at Sun Capital.