Plans for Growth and Expansion of Brand
Toronto – June 20, 2011 – Cover FX, a leading producer of dermatology-inspired cosmetics, today announced a capital investment by Catterton Partners, the leading consumer-focused private equity firm in North America. The proceeds of the investment will be used to accelerate growth in domestic and global markets. Terms of the transaction were not disclosed.
Known as The Foundation Authority, Cover FX was created by Lee Graff and Jenny Frankel in collaboration with Dr. Neil H. Shear to provide flawless cosmeceutical solutions. From its beginnings in 2000 with the iconic Cover FX cream foundation, Cover FX has developed a complete line of foundations, primers, concealers, moisturizers and cleansers formulated for any skin type, including the most sensitive, and is ideal for matching virtually any global skin tone. Today, Cover FX is available throughout Canada, the United States and the United Kingdom in over 1200 retail locations, on direct response TV and from the Cover FX website at www.coverfx.com.
The Cover FX team led by Lee Graff, President and Co-Creator, Jenny Frankel, Vice President and Co-Creator and Thomas Bond, Chief Financial Officer, will continue to manage the Company utilizing the substantial financial and strategic resources created by the partnership with Catterton Partners.
“We are thrilled about our partnership with Catterton Partners and the wealth of experience, expertise and resources that Catterton brings to Cover FX,” said Lee Graff, Cover FX President and Co-Creator. “Catterton has a remarkable record of success partnering with companies like ours to create extraordinary brands and businesses, particularly in the beauty industry. We are very excited to take advantage of their strategic insights and relationships to expand the reach of our brand, and our remarkable products and solutions, to markets around the world.”
“With its innovative products, medical heritage, brand positioning, and passionate leadership team, Cover FX is uniquely positioned to realize dramatic growth,” said Jon Owsley, a Partner at Catterton Partners. “The Company’s presence in the global cosmetics marketplace has allowed it to gain significant momentum with customers around the world. We are excited to partner with Cover FX and look forward to using our experience to build on the Company’s momentum and help Cover FX reach its full potential.”
About Cover FX
Cover FX, headquartered in Toronto, Canada, develops, produces and markets cosmetic products featuring therapeutic formulations suitable for virtually any skin type and global skin tone. Cover FX products are available at www.coverfx.com, at leading North American retailers including Shoppers Drug Mart, The Bay, and Sephora; in the UK at Harvey Nichols and House of Fraser; on Home Shopping Network and www.hsn.com; and online at www.sephora.com, www.dermstore.com, and www.skinstore.com. In addition, Cover FX is preferred by professional makeup artists in print, runway and film. Cover FX has also established its CosMedic Clinics at several prestigious dermatology institutions throughout North America, and Lee Graff continues to see patients at the CosMedic Clinic at Toronto’s Sunnybrook Health Sciences Centre. For additional information on Cover FX, please visit www.coverfx.com.
About Catterton Partners
With more than $2.5 billion currently under management and a twenty-plus year track record of success in building high growth companies, Catterton Partners is the leading consumer-focused private equity firm in North America. Since its founding in 1989, Catterton has leveraged its category insight, strategic and operating skills, and network of industry contacts to establish one of the strongest private equity investment track records in the middle market consumer industry. Catterton Partners invests in all major consumer segments, including Food and Beverage, Retail and Restaurants, Consumer Products and Services, and Media and Marketing Services.
A number of Catterton’s current investments include: Restoration Hardware, Cheddar's and Noodles restaurants, StriVectin, O.N.E. (One Natural Experience) beverages and Nature's Variety Pet Food. Selected realized investments include Frederic Fekkai, Sweet Leaf Tea, Heartland RV, Build-A-Bear Workshop, Kettle Foods, Odwalla, P.F. Chang's China Bistro and Wellness Pet Food.
More information about the consumer-focused private equity firm can be found at http://www.cpequity.com.
Eric Brielmann / Andrea Rose / Taylor Ingraham
Joele Frank, Wilkinson Brimmer Katcher