Private label producer of apparel and accessories Mad Engine has a new investor in its operations as Platinum Equity of Los Angeles has acquired a controlling stake of the San Diego-based apparel company.
Platinum acquired a controlling stake from the current ownership group, which has owned the business since 2011. The existing shareholders and management have retained a meaningful equity interest and will continue to serve in leadership roles, the company said. Mad Engine is a full-service, global apparel and accessories company that creates, designs, produces and distributes a range of licensed, private label and branded products, working with Walmart, Target, Old Navy, Kohl's, JC Penney and other specialty retailers, e-commerce channels and outlets. The company also manages a diverse portfolio of licenses with the likes of Disney, Warner Brothers, Epic Games, Nickelodeon, Netflix, Coca-Cola, and hundreds more.
"Platinum has a lot of experience working with businesses like ours and will provide us strategic, financial and operational support, enabling us to pursue an ambitious new phase of growth and expansion," said Faizan Bakali, Mad Engine president and chief operating officer. “This partnership with Platinum gives us tremendous strength as we continue to serve our retailers, licensor partners and, ultimately, the end consumer.”
Mad Engine has multiple sales, design and operational facilities, housing designers, artists, merchandisers and product developers. The company's business has expanded beyond men's and boy's T-shirts to include fashion tops and bottoms, denim, dresses, outerwear, pajamas, underwear, hats and beanies, backpacks, purses, watches, and sunglasses.
For Platinum Equity, this is the company’s seventh platform investment, including five completed during 2020.
"From its roots as a small, narrowly focused company in San Diego, Mad Engine has grown into one of the world's leading providers of apparel and a trusted partner to many of the world's most iconic brands," said Platinum Equity partner Jacob Kotzubei. "The company is a well-established, scalable platform operating in a highly fragmented industry, which creates a perfect opportunity to continue investing in and growing the business. We have great respect for everything Mad Engine has accomplished and our team is excited to help maximize the company's potential."