LightBay Capital Announces Growth Investment in Boardroom Salon for Men

Transaction to Fuel National Expansion and Accelerate New Store Growth

LOS ANGELES, CA, August 16, 2018 – LightBay Capital (“LightBay”), a Los Angeles-based private equity firm , announced today that it has made an investment in The Boardroom Salon Company, LLC (“Boardroom,” “Boardroom Salon for Men,” or the “Company”), a premium men’s salon operator and franchisor with 30 company-owned and franchised units across Texas, Oklahoma, Georgia, and Tennessee.  

Boardroom Salon for Men was founded in 2004 by Bruce and Heather Schultz, and is headquartered in Southlake, Texas.  Boardroom combines the community and nostalgia of an old-time barbershop, outstanding client service, and a 1920s country club environment where men can relax, unwind, and confidently enjoy the highest quality haircut, shave, and spa services.

Under the terms of the transaction, LightBay will own a majority stake in the company, with Co-Founders Bruce and Heather Schultz retaining significant ownership.  As a result of the investment, Boardroom expects to accelerate its growth plans by significantly expanding the number of salons and markets in which it operates.

“Bruce, Heather, and the leadership team have done a remarkable job of building a differentiated, premium experience for Boardroom’s clients and team members,” said Adam Stein, Partner and Co-Founder of LightBay.  “We are excited to partner with management to support the company’s national expansion and bring Boardroom’s high-quality services to new markets.”

“I want to thank all of our outstanding team members for their teamwork and dedication to deliver exceptional client service over the last 14 years to make Boardroom the ‘Authority in Men’s Grooming,’ as well as the preferred place to work,” said Bruce Schultz.  “I also want to thank our valued clients, whose support has helped us grow to 30 locations, and who will be integral to our nationwide expansion.  We are thrilled to welcome LightBay Capital as our partner, whose capital, network of relationships, and experience will be valuable as we grow our brand and expand our footprint.” 

“Boardroom is a market leader in an attractive and growing industry, and enjoys a passionate following and loyal client base,” added David Burcham, Managing Director at LightBay.  “The team’s ability to provide authentic and personalized services on a subscription basis fills a growing need in the marketplace.  We look forward to working with Bruce, Heather, and their team in the years to come.” 

LightBay is represented by Massumi + Consoli LLP as its legal counsel, and by Harris Williams as its financial advisor.  Boardroom is represented by Ferguson Braswell Fraser Kubasta PC as its legal counsel, and by Deloitte Corporate Finance LLC as its financial advisor.

About LightBay Capital

LightBay Capital is a Los Angeles-based private equity firm that applies a flexible capital approach to middle-market investing.  Primarily focused on the consumer, healthcare, and business services industries, LightBay invests across the capital structure and in all market environments to help accelerate the growth of high-quality companies.  LightBay is currently investing out of its $655 million private equity fund.  For more information, please visit www.lightbay.com.

About Boardroom Salon for Men

Since 2004, Boardroom has been the place where men get ready.  Boardroom delivers the ultimate relaxed grooming experience for men by providing exceptional haircuts, shaves, and spa services in an elegant, country club environment.  Boardroom currently has 30 locations throughout Texas, Oklahoma, Georgia, and Tennessee.  For more information, visit boardroomsalon.com or facebook.com/theboardroomsalon.

LightBay Capital Continues to Expand its Investment Team with the Addition of Ben Herman

LOS ANGELES, CA, June 14, 2018 – LightBay Capital (“LightBay”), a Los Angeles-based private equity firm focused on middle-market opportunities, today announced that Ben Herman has joined the firm as a Principal.  Mr. Herman will be responsible for all aspects of the investment process, including sourcing opportunities, executing new investments, and monitoring portfolio companies.

Mr. Herman brings significant direct investing, transaction, and operating experience to LightBay.  Prior to joining the firm, Mr. Herman spent more than six years at Cressey & Company LP (“Cressey”), a healthcare-focused private equity firm, where he most recently served as a Principal.  He served on the boards of VetCor Professional Practices, Restorix Heath, PurFoods, StatLab Medical Products, and People, Pets and Vets.  Mr. Herman also supported investments in Midwest Dental, Encompass Home Health, and Hospice Compassus.  Prior to Cressey, he worked as an investment banker in the Global Healthcare group at UBS Investment Bank.  Mr. Herman holds a B.A. in Economics from Yale University and an M.B.A. from the Wharton School at the University of Pennsylvania, where he graduated with honors.

“We are delighted to have Ben on our team,” said Nav Rahemtulla and Adam Stein, Founding Partners of LightBay Capital.  “Ben brings strong industry experience across our core sectors, as well as a proven track record of leading investments and supporting portfolio companies through various stages of growth and business cycles.” 

Mr. Herman said, “I am impressed with the talented individuals at LightBay and look forward to working with the team to identify opportunities, deploy capital, and create value for our investors.”

About LightBay Capital

LightBay Capital is a Los Angeles-based private equity firm that applies a flexible capital approach to middle-market investing.  Primarily focused on the consumer, healthcare, and business services industries, LightBay invests across the capital structure and in all market environments to help accelerate the growth of high-quality companies.  For more information, please visit www.lightbaycapital.com.

LightBay Capital Raises $615 Million for Debut Private Equity Fund

Oversubscribed Fund Exceeds $450 Million Target in Eight-Month Fundraise

LOS ANGELES, January 4, 2018 – LightBay Capital (“LightBay”), a Los Angeles-based private equity firm focused on middle-market opportunities, today announced that it has successfully completed fundraising for its inaugural institutional fund, LightBay Investment Partners LP (the “Fund”), with total committed capital of $615 million.  The oversubscribed Fund, which LightBay officially began marketing in April 2017, exceeded its target of $450 million with commitments from a diverse investor group, which includes leading family offices, foundations, fund of funds, insurers, pension plans, and LightBay professionals.

LightBay is led by cofounders Nav Rahemtulla and Adam Stein, who were original members of Ares Management’s private equity group (“Ares”) where they invested together for over 15 years. Prior to forming LightBay, Messrs. Rahemtulla and Stein led Ares’ Healthcare and Consumer & Retail industry groups, respectively.

LightBay invests in growing businesses primarily in the consumer, healthcare, and business services sectors. The Fund’s flexible investment strategy incorporates leveraged buy-outs, shared-control opportunities, and special situations, targeting investments between $25 million and $150 million.

“We could not be more pleased with the composition of our investor base and are grateful for their strong level of support and confidence in LightBay,” said Mr. Rahemtulla. “Adam and I are thrilled to continue our partnership with so many institutions who have been with us our entire careers. Together with our new limited partners, we look forward to enjoying continued success.”

Mr. Stein added, “The flexibility of our capital base enables us to invest in high-quality companies in all market environments, and our strategy is well suited to take advantage of the disruption occurring across the consumer, healthcare, and business services sectors.  We have built a terrific team with experience in business development, investing, and driving operational excellence, and are eager to partner with talented management teams and create meaningful value for our investors.”

UBS Private Funds Group acted as advisor and exclusive placement agent for LightBay. Kirkland & Ellis LLP served as legal counsel to LightBay. 

LightBay Capital Expands its Investment Team with the Addition of David Burcham

LOS ANGELES--(BUSINESS WIRE)--LightBay Capital (“LightBay”), a Los Angeles-based private equity firm focused on middle-market opportunities, today announced that David Burcham has joined the firm as a Principal. Mr. Burcham will be responsible for sourcing, analyzing new investments, due diligence, deal process execution, and portfolio company management and monitoring.

Mr. Burcham brings a decade of direct investing and transaction experience to LightBay. Prior to joining the firm, Mr. Burcham spent more than eight years at Levine Leichtman Capital Partners (“LLCP”), where he most recently served as a Managing Director and led private equity and credit investments across several industries and in a variety of transaction types. He served on the boards of seven companies in the consumer, healthcare, business services, and manufacturing industries. Prior to LLCP, Mr. Burcham worked as an investment banker in the Leveraged Finance group at RBS Securities and an Engineer/Scientist in the Space & Intelligent Systems division at The Boeing Company.

“Dave brings with him an exceptional history of investing, leading teams, and partnering with executives in building businesses across our core industry sectors of consumer, healthcare, and business services,” said Nav Rahemtulla and Adam Stein, Founding Partners of LightBay Capital. “We are excited to have him join the team and are confident that his investment acumen and leadership qualities will have a tremendous impact on our business and will play an integral role in the firm’s long-term growth and development.”

Mr. Burcham said, “I look forward to working with the talented and accomplished team at LightBay as we build on the firm’s success in the years ahead.”

LightBay Capital Announces the Appointment of David Leeney as a Managing Director and Head of Business Development

LOS ANGELES--(BUSINESS WIRE)--LightBay Capital (“LightBay”), a Los Angeles-based private equity firm focused on middle-market opportunities, today announced that David Leeney has joined the firm as a Managing Director and Head of Business Development. Mr. Leeney will be responsible for coordinating LightBay’s deal sourcing and relationship management efforts.

Mr. Leeney brings more than 14 years of business development, origination, and investor relations experience to LightBay. Prior to joining the firm, Mr. Leeney spent ten years at The Gores Group, where he most recently served as the Head of Global Origination and oversaw business development for all of Gores’ investment vehicles, including its small-cap and mid-cap funds. Prior to Gores, Mr. Leeney worked as an investor relations consultant at Taylor Rafferty on a variety of large-cap, cross-border transactions.

“Dave brings with him tremendous experience sourcing investment opportunities across a variety of sectors, deal sizes, and market environments,” said Nav Rahemtulla and Adam Stein, Founding Partners of LightBay Capital. “We are delighted to have him on the team and are confident that Dave’s breadth of relationships and experience will drive significant value for the firm and its portfolio companies.”

Mr. Leeney said, “The opportunity to work with a tenured team that has an entrepreneurial spirit and a demonstrated ability to successfully invest across market cycles is unique and exciting. I am thrilled to be part of the LightBay organization.”