Investment company Fledge Capital has acquired a 25% direct shareholding in Ultimate Sports Nutrition (USN).
The company with an investment portfolio of about R2.3bn has a preference for investing in consumer brands with wide appeal.
Previous deals include investments in WeBuyCars, Dis-Chem, King Price, Atterbury Property Investments, Oasis Water, Betterbond, Genric Insurance and Protea Capital Management, and it has a substantial cash war chest for future transactions.
It has also attracted a shareholding from Patrice Motsepe’s African Rainbow Capital Investments Ltd (ARC).
In a joint media statement, the companies said Fledge’s investment will grow USN’s capacity to meet the strong international demand for its high-quality sports nutrition and wellness products.
Home-grown USN with turnover approaching R2bn a year was founded by Pretoria entrepreneur Albé Geldenhuys in 1999 and offers affordable sports nutrition products. Its products are available in more than 80 countries with strategically positioned distribution hubs globally and manufacturing operations on three continents.
Over the years, several investment suitors have courted USN but Geldenhuys has rebuffed all offers.
“As a globally trusted name USN is well positioned for the world’s renewed focus on healthy living. To keep growing, I trust a partner like Fledge Capital that can add significant long-term value beyond providing growth capital,” he said.
Fledge Capital was established in 2010 by property investor Louis van der Watt and Konrad Fleischhauer, an investment banker and private equity investor. The pair, with a track record of investing in the unlisted sector, said Fledge Capital is a company with permanent capital doing private equity transactions, which allows them to hold long-term equity positions.
“USN is an extraordinary, innovative and high-growth venture with a robust business model, attractive markets and data-driven strategies to accelerate sustainable, profitable growth. We look forward to working with Geldenhuys to realise USN’s full potential,” said Van der Watt and Fleischhauer.
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