Growth-capital fund increases investment in California-based portfolio company following fifth year of strong, consistent growth.
LOS ANGELES, OCTOBER 2014 – Breakwater Management, LP (“Breakwater”) is pleased to announce that it has completed a follow-on growth capital investment into portfolio company Consensus Orthopedics, Inc. (“Consensus”), out of its Breakwater Structured Growth Opportunities Fund. Based in Los Angeles, Breakwater is a private investment firm that specializes in direct investments in leading middle market growth businesses.
Founded in 1992, Consensus manufactures and distributes high-quality reconstructive total joint implants for the hip and knee. The company has nearly 25 patents and an international distribution network. Headquartered in El Dorado Hills, CA, Consensus sells its products throughout North America, Western Europe, Turkey, China, Japan, Australia, and New Zealand.
“We are extremely pleased to continue working in partnership with the professionals at Breakwater,” said Colleen Gray, CEO at Consensus. “This follow-on investment will provide the growth capital Consensus needs to expand its offering, enter into new high-demand markets, and increase manufacturing capacity, resulting in lower production costs and decreased lead times. We are very excited about moving into the next phase of business expansion.”
“Consensus has demonstrated strong, consistent growth throughout the past five years since Breakwater’s initial investment in the company,” said Saif Mansour, Managing Partner at Breakwater. “Colleen and her highly experienced team have an excellent track-record of implementing new growth initiatives, optimizing cost structures, and entering new markets. As a result, Consensus has built a diverse, multi-channel sales footprint within the US and internationally. We are delighted to be increasing our investment in Consensus and to be supporting the business as it pursues new, attractive growth opportunities.”
In 2013, Breakwater provided a $7.75 million unitranche facility to Consensus, to refinance the company’s existing bank facility and provide additional growth capital. The current follow-on investment into Consensus provides additional capital for growth and strengthens Breakwater’s position in the company’s capital structure.
Breakwater Management is a private investment firm that specializes in direct investments in leading lower middle market growth companies, especially businesses with expanding global operations. The firm aligns itself with committed management teams, owners, and sponsors to help propel lower middle market businesses into their growth curve. Breakwater has an established, world-class alternative asset management platform, with multiple partnerships and investment vehicles that service the lower middle market’s myriad capital needs.
To learn more about Breakwater, visit www.breakwatermgmt.com or call (424) 777-4000.