WESTPORT, Conn., Jan. 16, 2018 /PRNewswire/ -- Compass Group
Diversified Holdings LLC (the "Company") and Compass Diversified
Holdings (NYSE: CODI) (together with the Company, "CODI"), an owner
of leading middle market businesses, announced today that
Elias J. Sabo, a founding partner of
the Company's Manager, Compass Group Management LLC ("CGM"), has
been appointed as the Company's Chief Executive Officer ("CEO"),
effective May 3, 2018. Mr. Sabo will
also be appointed to the Company's Board of Directors at that time.
He will succeed Alan B. Offenberg,
who is retiring from his position as CEO and a director of the
Company, following his 20-year tenure with CODI and CGM.
Mr. Sean Day, Chairman of the
Company's Board, commented, "Alan has provided strong leadership
for CODI during a time when CODI generated growing cash flows,
continued to acquire leading niche industrial and branded consumer
businesses, increased total gains realized for shareholders and
provided stable distributions. We are all very grateful to Alan for
his contributions to CODI and on behalf of the Board, I want to
thank him for his years of service and wish him all the best in his
retirement."
Mr. Day added, "As one of the founders and architects of our
business model, Elias has been instrumental to CODI's success in
implementing its investment strategy, identifying and growing our
leading subsidiaries, and building shareholder value. Our
investment and monetization of one of our past subsidiaries, Fox
Factory Holding Corp. ("FOX"), highlights this approach. Under
Elias' leadership, we acquired FOX, took it public and eventually
realized gains from this investment of approximately $525 million. I am confident Elias is the ideal
person to lead CODI, as it builds on its past success and continues
to execute on its proven strategy. He is an exceptional leader with
an in-depth knowledge of our business, strong internal and external
relationships and a clear vision for CODI's future."
Mr. Sabo, 47, joined CGM in 1998 as one of the founding
partners. For the past 20 years, he has been a member of the
Investment Committee and, alongside Mr. Offenberg, has played a
central role in directing CODI's strategy. Mr. Sabo also currently
serves as a director for a number of CODI's current subsidiaries,
including 5.11 Tactical, Advanced Circuits, Arnold Magnetic
Technologies, and Fresh Hemp Foods, Ltd. (doing business as
Manitoba Harvest). He previously served as the Chairman of Fox
Factory Holding Corp. (NASDAQ: FOXF), a former CODI subsidiary.
Prior to joining CGM, Mr. Sabo held positions with CIBC Oppenheimer
and Colony Capital.
Mr. Sabo stated, "I am honored to become the Company's next CEO.
It has been a pleasure to partner with Alan for the past 20 years
and I look forward to working closely with him over the next few
months to ensure a seamless transition. I am very excited about
CODI's strong prospects and the many opportunities the Company has
to build further value for our shareholders. Going forward, our
strategic focus remains to add to our family of leading middle
market businesses and to reinvest in our current subsidiaries in an
effort to further drive future cash flow growth and provide strong
and consistent cash distributions."
"It has been a privilege to serve as CEO during the past seven
years and I have been fortunate to have had the opportunity to
collaborate with a group of dedicated and talented professionals,"
said Mr. Offenberg. "I would like to thank everyone for their hard
work in building CODI into the leader it is today. Having worked
closely with Elias since our inception, he has been integral to our
success and I know his knowledge, passion and commitment to further
expanding CODI's leadership will serve the Company and its
shareholders well. I wish Elias and the rest of the team all the
success in the future."
About Compass Diversified Holdings ("CODI")
CODI owns
and manages a diverse family of established North American middle
market businesses. Each of its current subsidiaries is a leader in
its niche market.
CODI maintains controlling ownership interests in each of its
subsidiaries in order to maximize its ability to impact long term
cash flow generation and value. The Company provides both debt and
equity capital for its subsidiaries, contributing to their
financial and operating flexibility. CODI utilizes the cash flows
generated by its subsidiaries to invest in the long-term growth of
the Company and to make cash distributions to its shareholders.
Our nine majority-owned subsidiaries are engaged in the
following lines of business:
- The design and marketing of purpose-built tactical apparel and
gear serving a wide range of global customers (5.11);
- The manufacture of quick-turn, small-run and production rigid
printed circuit boards (Advanced Circuits);
- The manufacture of engineered magnetic solutions for a wide
range of specialty applications and end-markets (Arnold Magnetic
Technologies);
- Environmental services for a variety of contaminated materials
including soils, dredged material, hazardous waste and drill
cuttings (Clean Earth);
- The design, manufacture and marketing of airguns, archery
products, optics and related accessories (Crosman);
- The design and marketing of wearable baby carriers, strollers
and related products (Ergobaby);
- The design and manufacture of premium home and gun safes
(Liberty Safe);
- The manufacture and marketing of branded, hemp-based food
products (Manitoba Harvest); and
- The manufacture and marketing of portable food warming fuels
and creative ambience solutions for the hospitality and consumer
markets (Sterno Products).
This press release may contain certain forward-looking
statements, including statements with regard to the future
performance of CODI. Words such as "believes," "expects,"
"projects," and "future" or similar expressions, are intended to
identify forward-looking statements. These forward-looking
statements are subject to the inherent uncertainties in predicting
future results and conditions. Certain factors could cause actual
results to differ materially from those projected in these
forward-looking statements, and some of these factors are
enumerated in the risk factor discussion in the Form 10-K filed by
CODI with the SEC for the year ended December 31, 2016 and other filings with the SEC.
Except as required by law, CODI undertakes no obligation to
publicly update or revise any forward-looking statements, whether
as a result of new information, future events or otherwise.
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SOURCE Compass Diversified Holdings