Private equity firm KPS Capital Partners LP won an auction to buy substantially all the assets of the Lenox Group. The offer includes the Lenox, Dansk, and Gorham brands. It does not include Department 56, which is scheduled for a separate auction.
Lenox Group Inc., which manufactures and markets tabletop, giftware, and collectible products, filed for bankruptcy in late 2008
KPS, through a newly formed company, committed enough capital to cover the entire purchase price, plus the cash Lenox will need after the closing, without outside financing. The auction and sale is subject to U.S. Bankruptcy Court approval. In addition to the Lenox deal, KPS recently entered into a letter of intent with bankrupt tabletop brand Waterford Wedgwood UK Plc.
“KPS made a substantial and firm offer and was the highest qualified bidder with the greatest certainty of closing quickly.” said Marc Pfefferle, Lenox CEO. “Furthermore, KPS’s commitment to provide the capital to build our brands so they can realize their full potential for sustainable growth and profitability is a great outcome for our employees, customers and vendors.”