COMPANYFIRST UPDATE: SUMMER 2019
Dear Friends of CompanyFirst,
It seems like only yesterday the Spring rains finally ended here in Chicago (perhaps because they never really stopped) and it's hard to believe that Summer is winding down. It has been a very busy past few months at CompanyFirst, and we wanted to provide an update to our friends and network. See below for the latest news...we invite you to follow us on social media (links below), and please feel free to reach out to us with any questions or comments.
Thank you all for your continued support!
Best,
Jason Starr
COMPANYFIRST | Managing Director
jason.starr@companyfirst.com
Note: You are receiving this email because you are an investor in, friend of, or have expressed an interest in CompanyFirst. We greatly appreciate our network and the opportunity to keep you informed of our progress, but if you no longer wish to receive these emails please see below for links to unsubscribe.
|
|
COMPANYFIRST HOLDS INITIAL CLOSE ON NEW FUND
CompanyFirst is an "Emerging Brand Accelerator" that invests in and works closely with passionate entrepreneurs to help them build great consumer-focused companies and brands. In June, CompanyFirst held an initial close on its new fund, CompanyFirst Capital Fund I LP (the "Fund"). This first close has enabled CompanyFirst to pursue equity investments in emerging consumer brands where we see a strong foundation for growth, a proven track record of successful execution, an opportunity to engage to create significant value, and the potential to “reinvest in success” (typical investments will be in the range of $100,000 to $2,000,000). While CompanyFirst is moving forward with investments, we will continue fundraising through June 2020, working towards a $25M target (if you or anyone you know is interested in learning more, please let us know).
|
|
|
COMPANYFIRST INVESTS IN STANTT APPAREL
We are proud to announce that the Fund has made an investment in STANTT. STANTT is an innovative, growing company in the apparel industry that is disrupting men’s fashion by combining the fit of customized shirts with “off the rack” ease of shopping. STANTT uses body scan data and proprietary algorithms to create an extended range of sizes (e.g. 99 different sizes of shirts vs. the traditional S / M / L / XL). By taking just a few simple measurements, the STANTT system matches customers to the STANTT size (either online or at select retailers like Nordstrom, where customers can try on different fits and sizes to find their perfect match). Once your fit is determined there are a wide variety of fabrics and options, with clothing made-to-order and delivered to the customer in about a week.
The funding round was led by Randa (one of the world's largest leather accessories makers) and included New England Development (a real estate developer with a focus on retail) in addition to CompanyFirst. We've known the STANTT team for over a year and are very excited to help fuel their next phase of growth!
|
|
|
COMPANYFIRST SUPPORTS AND BUILDS TEAM WITH CHICAGO BOOTH
Chicago has a wealth of resources that are valuable to CompanyFirst, from the various consumer product incubators and accelerators (e.g. Chicago Hatchery, Family Farmed, Food Foundry, Springboard, etc.) to the many strategics in the area (e.g. KraftHeinz, ConAgra, Tyson, Mondelez, Walgreens, etc.) to the many highly successful consumer start-ups (e.g. RXBar, Farmer's Fridge, Vital Proteins, Simple Mills...this list goes on and on!). One resource that has been amazing for CompanyFirst is our relationship with The University of Chicago Booth School of Business.
We are proud to support Chicago Booth in various ways including serving as a mentor and judge in programs such as the New Venture Challenge and the Venture Capital Investment Competition. Earlier this year we were fortunate to have Matt Ramoundous join the CompanyFirst team as part of the Chicago Booth Private Equity Lab. Elisabeth McKenna, who is also pursuing her MBA from Chicago Booth, joined CompanyFirst as a Summer Associate starting in June. Both have been tremendous additions to the CompanyFirst team!
|
|
|
COMPANYFIRST ADDS FOUR ADVISORS
CompanyFirst is honored to have the following as strategic advisors to our Firm and Fund:
Chris McGowan
Chris is the general partner of CJM Ventures and is a Professor at the University of Chicago Booth School of Business where he teaches courses on entrepreneurship, venture capital, and private equity. Chris was previously a Managing Director at Madison Dearborn Partners where he oversaw more than $2 billion of equity investments in the industrial, consumer, and energy sectors.
Michael Schopin
Michael is a Parter at Zenfinity Capital, an investment firm started by Kevin Easler (the co-founder of Sprouts Farmers Market) to identify, finance, and develop the growth of promising better for your businesses in retail, food, and beverage. Michael has been an investor for more than 15 years and has completed over 40 private transactions, working primarily with high net worth individuals and families.
Nick Ferring
Nick is an executive at PLZ Aeroscience. PLZ was founded in 1939 with the invention of Plastic Auto Glaze Polish. An innovator in commercializing aerosol technology, PLZ is a leading manufacturer of specialty aerosol and liquid products. PLZ has thrived under multiple generations of Ferring leadership and has produced over one billion cans of industrial, professional, and consumer products.
Todd Hall
Todd spent over three decades in leadership positions at Cargill, recently retiring as the head of the Cargill's global protein and salt businesses. Todd was a member of the Cargill Board of Directors, oversaw some of Cargill's largest acquisitions, and was a member of the Cargill Leadership Team, the executive group in charge of Cargill's strategic direction, growth, and capital allocation.
|
|
|
THE HATCHERY OFFICIALLY OPENS NEW BUILDING AND SHARED KITCHEN SPACE
CompanyFirst is a member of and co-located in an incubator called the ICNC (the Industrial Council of Nearwest Chicago). One concept incubated at the ICNC is called the Hatchery, which is a community and shared kitchen space for emerging food companies. The new Hatchery building officially opened for business earlier this year with a ribbon cutting by then Mayor Rahm Emanuel of Chicago. The new facility was built food grade from the bottom-up with space for 100 entrepreneurial food companies and is complete with both dedicated and on-demand kitchens, an on-site farmers market, a robust community and programming, and even celebrity chefs providing their expertise to enterprising food entrepreneurs.
CompanyFirst is a member of the Hatchery community and involved with the Hatchery at various levels.
|
|
|
INDUSTRY NEWS: STRATEGICS INVEST, ACQUIRE, INCUBATE, AND ACCELERATE
The market for exiting successful emerging consumer brands continues to be very strong. The large strategic consumer conglomerates continue to invest in and acquire brands as an alternative to internal R&D, and there have recently been some notable IPOs in the consumer space.
- Unilever acquired OLLY Nutrition, a maker of premium vitamins, minerals, and supplements
- SC Johnson acquired Sun Bum premium sunscreen products for an estimated $400 million
- Edgewell (i.e. Schick razors) acquired shaving products company Harry's for $1.3 billion
- Unilever acquired Tatcha, a Japanese-inspired beauty products company, for $500 million
- Mondelez acquired a majority stake in Perfect Snacks, a pioneer in refrigerated bars
- Acushnet (parent of Titleist and FootJoy) acquired KJUS performance ski and golf apparel
- Coca-Cola made a $20 million investment in Health-Ade Kombucha probiotic beverages
- General Mills participated in an $8 million investment in Good Culture natural cottage cheese
- McCain Foods led a $7 million investment in Nuggs, maker of plant-based chicken nuggets
- Kellogg and Griffith Food invested $5M in Kuli Kuli, moringa-based food products
- KraftHeinz, through its Springboard incubator, held a demo day for its second cohort*
- Gordon Food Service, through its Food Foundry accelerator, held a demo day for its first cohort and is kicking off its second cohort (see below)*
* CompanyFirst participates in these programs as an advisor, mentor, etc.
|
|
|
CALENDAR OF EVENTS
The following are examples of some recent and upcoming events and dates of notes on the CompanyFirst calendar:
|
|
|
|
|
|
