Altacrest Capital Announces the Acquisition of Big Dot of Happiness

Altacrest Capital LLC (“Altacrest”), a Dallas-based private equity firm that invests in growing eCommerce brands, has acquired a controlling interest in Big Dot of Happiness (“Big Dot”; please see https://www.bigdotofhappiness.com/), a leading online seller of designer party supplies and lifestyle collections.

Founded in 1999 and based in Menomonie, Wisconsin, Big Dot manufactures and sells directly to consumers unique party favors, decorations, yard signs and other lifestyle products that create “Goose Bump Moments” for the events in our lives that we need to celebrate and make lasting memories, including birthdays, graduations, baby showers, holidays, and other special events.   Big Dot’s products are original creations from its own in-house design team and are U.S. manufactured in Big Dot’s Wisconsin facilities.  Big Dot sells its products exclusively via eCommerce channels including Amazon.com, Walmart.com, Etsy.com, its own branded website and others.

“While we’ve experienced meaningful success since I founded Big Dot of Happiness 20 years ago, our ultimate goals are much larger than where we are today,” said founder Sherri Yukel.  “To achieve our potential, Big Dot needed a partner that understood brands, eCommerce, and both the day-to-day needs and strategic objectives of our growing business.   We are very proud of the team we have built at Big Dot, the products we make, and the relationships we have with customers celebrating their special moments.  Many qualified partners were interested in our business, but Altacrest’s experience and focus on brands and eCommerce ultimately made them the best choice for us.”

Co-owner Scott Yukel added “Altacrest and its network of operating partners understand what we need to continue to grow and succeed with our customers.   Not just from a marketing, product development and channel perspective but also from an operations perspective.  They are willing to make the investments that our business needs that we felt much more comfortable making with a financial partner rather than on our own.”

“At Altacrest, we have developed an investment thesis including a specific set of attributes we deem as critical to the success of growing eCommerce consumer brands. As we learned about Big Dot, we quickly realized the company has many of the qualities we are seeking in an investment.” said Brien Davis, Partner at Altacrest Capital. “We are excited to work with Sherri and Scott to continue to grow and develop the Big Dot brand and offerings.”

Altacrest Capital financed this transaction in partnership with Route 2 Capital Partners (“R2CP”), Venturi Private Wealth, co-owners Sherri and Scott Yukel, and a group of equity investors.  R2CP provided both debt and equity to support the transaction.  CrossFirst Bank provided a credit facility in association with the transaction.

“Route 2 is pleased to support the Altacrest and Big Dot teams with our one-stop debt and equity financing. True to our mission, we believe that the characteristics of Big Dot fit well with our responsive solutions-driven capital.” said Jay White, Managing Director, Route 2 Capital.

Russ Norwood, Founding Partner of Venturi Private Wealth, added “Our investment in Big Dot is a great example of what we are trying to achieve with our dedicated private equity fund. It’s a unique opportunity for our many entrepreneurial investors to gain exposure to higher return growth opportunities associated with eCommerce, with hands-on oversight from an experienced, eCommerce-focused private equity sponsor in Altacrest Capital.”

Big Dot was represented by Vermillion Capital and Best & Flanagan as advisors. Altacrest was represented by McGuireWoods and BakerTilly. Please contact Brien Davis, Tim Laczkowski, or Rick Sukkar to discuss this transaction or other investment opportunities.

About Altacrest Capital (see https://www.altacrestcapital.com/)

Altacrest Capital is a Dallas based private investment firm making control investments in middle market companies with EBITDA of $2 million or greater. Industries of focus are Consumer Products (significant experience in eCommerce) and Business Services. We seek to invest in family-owned and owner-operated businesses through buyout, recapitalization or growth equity investments. We partner with management teams and operators to provide capital, expertise and relationships to promote growth. For more information, visit www.altacrestcapital.com.

About Route 2 Capital (please see https://www.route2capital.com/)

R2CP is a private investment firm providing flexible junior capital solutions to lower middle market companies, primarily in the southern U.S. The firm’s partners possess over 100 years of combined investment, transactional, and operational experience. R2CP seeks to invest in established companies with minimum annual revenues and EBITDA of $10 million and $2 million, respectively, that generate predictable and profitable cash flows. R2CP's investment proceeds will be used to execute growth and expansion plans, support business recapitalizations, and facilitate management buyouts. R2CP reviews opportunities in niche manufacturing, business and healthcare services, and specialty distribution. For more information, visit www.route2capital.com.

About Venturi Private Wealth (please see www.venturiwealth.com)

Venturi Private Wealth is a strategic wealth management and financial advisory firm for high net worth individuals. Currently Venturi has over $1.65 billion under management. Venturi also has a dedicated $100 million private equity fund.

About CrossFirst Bank (please see www.crossfirstbank.com)

CrossFirst Bank was founded to serve the needs of businesses and individuals.  The Bank has eight full-service banking offices throughout Dallas, Frisco, Kansas City, Wichita, Oklahoma City, and Tulsa.  The CrossFirst brand stands for a commitment to pursuing excellence in banking and building trusted relationships with its employees, clients, shareholders, strategic partners and communities.

Timothy M. Laczkowski           Rick Sukkar                             Brien Davis

Mobile: 214 796 6006             Mobile: 917 951 6247             Mobile: 214 288 3917

tim@altacrestcapital.com    rick@altacrestcapital.com  brien@altacrestcapital.com