Your browser is out-of-date!

Update your browser to view this website correctly. Update my browser now

×

Sun Capital Infuses Mackie

Mackie Designs announced that it has agreed to an equity investment by an affiliate of Sun Capital Partners, a Boca Raton, Fla.,-based private investment

Mackie Designs announced that it has agreed to an equity investment by an affiliate of Sun Capital Partners, a Boca Raton, Fla.,-based private investment firm.

Under the proposed transaction, Sun Capital would acquire approximately 9.8 million shares of Mackie common stock — approximately 65% of Mackie’s total common stock outstanding — for a total of approximately $10 million in cash. According to Mackie CEO Jamie Engen, the transaction is expected to close by the first week of February; upon closing, Mackie will receive $6.4 million in capital. Engen also said that although company founder Greg Mackie is selling a portion of his shares, he remains a shareholder and will be on an exclusive consulting agreement with the company.

According to Engen, “Greg will continue to be involved as an exclusive consultant in the area of product development.” Commenting on Mackie’s long-term outlook, Engen said, “In addition to financial support, Sun Capital brings tremendous business management insight. Additionally, Sun Capital has strong relationships with some of the top lending institutions in the world. All of this is beneficial to Mackie’s customers because the long-term health of the company is assured and the resources are available to research and develop the type of cutting-edge products that Mackie is known for.”

Mackie plans to file voluntarily to delist from NASDAQ National Market effective as of the closing, and intends to be approved for trading on the OTC Bulleting Board.

Send your “Current” news to Sarah Benzuly at [email protected].

Close