Alternative asset manager The Carlyle Group has acquired 60 per cent of Tok&Stok, Brazil’s largest specialty furniture retailer by sales, from founders Ghislaine and Régis Dubrule.
Dubrule will remain chief executive of Tok&Stok following the transaction and the founders will retain a 40 per cent stake in the company.
Equity capital for the transaction will come from the USD1bn pool of capital managed by Carlyle’s South America Buyout Fund and Fundo Brasil de Internacionalização de Empresas FIP (FBIE), a local fund advised by Carlyle and Banco do Brasil.
The transaction is subject to approval by antitrust authorities and is expected to close in the fourth quarter of 2012. Additional financial terms were not disclosed.
Founded in 1978 and headquartered in Barueri (SP), Tok&Stok sells a wide range of furniture and home décor products. In 2011, the company generated approximately BRL1bn in sales through 35 stores in 12 states across the country and employed approximately 3,300 people.
Daniel Sterenberg, a principal with Carlyle’s South America buyout team, says: “Tok&Stok is an outstanding business with a superb market position, exceptional brand recognition and a unique shopping experience for consumers and we are excited about its growth prospects.”
Regis Dubrule says: “Carlyle’s global resources and impressive local track record were key elements in our decision to have a partner. This is a major milestone for the company and for the family.”
Carlyle established its South America Buyouts team in 2008. In Brazil, Carlyle has also invested in CVC, a tourism operator; Qualicorp, a health plan broker and administrator; Scalina, a lingerie manufacturer and retailer; Ri-Happy, a toy retailer; and Grupo Orguel, an equipment rental company.
