CLEVELAND, Jan. 31, 2018 /PRNewswire/ — Rising consumer confidence and disposable personal income are driving a release of pent-up demand in the home furnishings and décor sectors, according to the Consumer Products & Retail Insider, an industry report released by Brown Gibbons Lang & Company. Investor appetite has increased in line with favorable demand trends which is spurring investment activity.
Click here to access the full report: https://www.bglco.com/brown_gibbons_lang_accessorizing_through_acquis.
The BGL Consumer Products & Retail Insider highlights capital markets and mergers and acquisitions activity, financial and operating performance of certain publicly-traded companies, and trends and issues affecting the industry
The BGL report, now available online, examines developing trends in the Home Environment industry.
- Positive trends in the housing market coupled with changing demographics, notably the growing number of millennial first-time home buyers and downsizing empty nesters, establish the foundation for a thriving market in home fashion.
- Retailers of home furnishings and décor are reporting strong growth and investing in brick-and-mortar and digital assets in anticipation of growing demand. eCommerce is seeing double-digit growth as technology, convenience, and product assortment drive more online purchases in the category.
The fragmented home décor market has seen robust M&A activity as market participants pursue product line and channel expansion to tap new shoppers and grow online sales. The Home Depot (The Company Store), Masco Corporation (Kichler Lighting), and Newell Brands (Chesapeake Bay Candle) are among the large home goods companies shopping for acquisitions, each announcing deals during the last six months. Private equity funds are investing in this growing niche, illustrated by recent platform buys in home décor (Sycamore Partners/NBG Home), lighting (CID Capital/Grandview Gallery and AEA Investors/Visual Comfort), and home fragrance (NEST Fragrances/Eurazeo).
We expect the M&A market in home furnishings and décor will continue to be active as companies seek access to innovative products, new markets, and eCommerce-driven business models to accelerate growth.
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About Brown Gibbons Lang & Company
Brown Gibbons Lang & Company is a leading independent investment bank serving the middle market. BGL specializes in mergers and acquisitions advisory services, debt and equity placements, financial restructuring advice, and valuations and fairness opinions, with global industry teams in Business Services, Consumer & Retail, Environmental & Industrial Services, Healthcare & Life Sciences, Industrials, and Real Estate. BGL has offices in Chicago, Cleveland, Philadelphia, San Antonio, and San Diego in addition to Global M&A partner offices in more than 50 countries across 5 continents. BGL is able to deliver to our clients unparalleled access to strategic relationships, investors, and opportunities globally. For more information, please visit www.bglco.com.
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SOURCE Brown Gibbons Lang & Company