TSG Consumer Partners Reports $100 Million in Equity Investments in Four Companies over Past Five Months

Investments will Create and Save Jobs

SAN FRANCISCO SG Consumer Partners L.L.C. (“TSG”), a private equity firm that is the leading investor in branded consumer products companies said the firm has invested $100 million of equity in four high-growth small and mid-sized companies, including a recent investment concluded last week. These growth investments include companies in the “better for you” food, specialty pet food and food service beverage industries.

TSG’s investment activity is especially noteworthy in the context of a general slowdown in the private equity industry.

“Our equity funds will be used to create and save jobs, and to provide an attractive return on equity to our pension fund investors,” said James O’Hara, a TSG Managing Director. “Small and medium size businesses have become a beacon of hope in these challenging times.”

“There is a general association between the private equity industry and leveraged transactions. However, we at TSG generally use little or no leverage. Our equity investments have been used to strengthen balance sheets and provide needed funds for growth. With many banks closed for business, TSG has become an attractive source of capital for small and medium-sized consumer companies,” Mr. O’Hara commented.

“We have been fortunate to partner with a number of remarkable branded consumer companies including VitaminWater, Smart Balance, PureOlogy and now Muscle Milk (CytoSport), Mona Vie and Smashbox Cosmetics, amongst other companies. These companies have stood up and said to a world heading backward that they are heading forward. They have and will achieve notable growth and continue to create jobs even in the current economy,” O’Hara noted.

About TSG Consumer Partners

TSG Consumer Partners L.L.C. is the leading private equity firm in the U.S. focused exclusively on the consumer sector. TSG pioneered the use of private equity in high-growth, middle-market branded consumer companies. TSG was also the first institutional investment fund to focus on investing in natural and organic foods companies as well as companies focused on ethnic foods, functional food and beverage categories, and orphan brands in the personal care and household sectors. Along with its in-depth understanding of and experience within the consumer industry, TSG engages in a highly effective hands-on management approach that distinguishes the firm in attracting investments and building companies. Since its inception in 1987, TSG’s branded consumer investment strategy has achieved returns of approximately 60 percent annually.

TSG’s investments over the years include Famous Amos Chocolate Chip Cookies, Terra Chips, Mauna Loa macadamia nuts, Glaceau vitaminwater, Smart Balance Foods, PureOlogy hair care and Meguiar’s car care, amongst others.

Source: TSG Consumer Partners L.L.C.