CORTE MADERA, Calif.–Restoration Hardware has officially been acquired by private-equity firm Catterton Partners.
At the same time, owner Tower Three Partners LLC, an operationally focused private-equity firm, has made an equity investment in the specialty retailer approximately equal to the investment made by Catterton. Together, Catterton and Tower Three will have a controlling equity interest in Restoration Hardware
Under the terms of the merger agreement, all of the outstanding shares of common stock of Restoration Hardware, other than those exchanged by certain shareholders participating with Catterton Partners in the transaction, will receive $4.50 per share in cash.
“With Tower Three’s investment, we will gain access to a team of professionals with a proven track record of building operational excellence,” Gary Friedman, chairman and chief executive officer of Restoration Hardware, said in a statement. “Combined with Catterton’s expertise in developing and growing leading consumer brands, I believe this partnership will greatly benefit Restoration Hardware’s stakeholders, customers and team members.”
As a result of the acquisition closing, Restoration Hardware’s common stock will no longer be listed on the Nasdaq stock exchange.