Advent to Acquire Majority Stake in Serta, Simmons Parent
BOSTON-Buyout firm Advent International has reached an agreement to purchase a majority interest in AOT Bedding Super Holdings--the parent company of National Bedding Co., majority owner and licensee of Serta, and Simmons.
Terms of the transaction, which is expected to close in the fourth quarter, were not disclosed in a statement from Advent. Ares Management and Ontario Teachers' Pension Plan, currently the majority investors in AOT, will keep what the statement described as "a significant equity stake" in the company.
The statement added that Serta and Simmons will continue to maintain separate sales, marketing, merchandising and customer-specific product-design functions. The two mattress brands will continue to market their products separately--although, in some cases, the brands will work together with mattress dealers as well in a variety of other areas to achieve cost efficiencies and best practices, the statement said.
In addition, Serta and Simmons will continue to be managed jointly by the board of directors of AOT. Steven Collins, Advent's managing director, said, "Our strategy going forward is to continue to grow the businesses by ensuring that Serta and Simmons remain focused on delivering high-quality mattresses that help people sleep better."