FOX Factory
Initial Public Offering (NASDAQ: FOXF)
January 2008
Acquisition date
$80M
Purchase price
5.5
Years held
August 2013
Divesture Date
$527M
Total proceeds
FOX is a designer, manufacturer and marketer of high-performance suspension products used primarily on mountain bikes, side-by-side vehicles, on-road vehicles with off-road capabilities, off-road vehicles and trucks, all-terrain vehicles, snowmobiles, specialty vehicles and applications and motorcycles.
Competitive Strengths
- Global, premium, performance-based lifestyle brand
- Highly-engineered products with focus on innovation
- Large white space opportunity in new vehicle categories
- Strong OEM relationships and global aftermarket distribution network
- Experienced management team leading company of enthusiasts
Value Creation
- IPO provided increased capital availability and access to lower cost of capital to fund growth initiatives
- Recruited professional management team including CEO, CFO and SVP of Operations
- Streamlined mountain bike supply chain and co-located by key OEMs
- Supported large R&D budget to drive new product introduction in rapidly growing vehicle categories like side-by-sides and off-road trucks
- Invested heavily in sales and marketing to drive consumer demand and loyalty
Exit
In August 2013, CODI completed an Initial Public Offering of FOX Factory Holding Corp. (NASDAQ:FOXF) at $15.00 per share. CODI subsequently reduced its holding position via 5 secondary share offerings from 2014 to 2017, ultimately realizing total proceeds of over $527 million following its final disposition of FOX.
- Under CODI’s leadership, FOX recruited a professional management team, including a CEO, CFO and SVP of Operations, which enabled its eventual IPO. With CODI’s support and guidance, FOX streamlined its mountain bike supply chain and co-located adjacent to key OEMs. CODI monetized significant growth initiatives at FOX, including supporting a large R&D budget to drive new product introduction in rapidly growing vehicle categories like side-by-sides and off-road trucks, and significant investments in sales and marketing to drive consumer demand and loyalty.
- The share price of Fox Factory Holding (NASDAQ:FOXF) as a non-consolidated public entity has increased 704% over the past five years, enabling it to continue its growth trajectory and solidify its position as a leader in its market.
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