Advent acquires equity stake in lululemon athletica

Date Closed: 12/05/2005

Value: C$108 million 

On December 5, 2005, private equity funds managed by Advent International Corp. and Highland Capital Partners, both of Boston, Massachusetts, acquired a 48 per cent equity stake in Canadian athletic apparel maker and retailer, lululemon athletica Inc. for proceeds of $108 million. lululemon operates 33 company-owned stores primarily in Canada, with a presence in the US, Japan and Australia. The transaction also provided partial liquidity to lululemon’s founder, Chip Wilson, who will retain a majority position in the lululemon group. The sale was preceded by a reorganization of the lululemon group, which established an enterprise value of $225 million.

Advent was represented with respect to Canadian matters, by BLG with a team that included Elinore Richardson, Barbara Smith and Kathleen Keilty.