Global private equity firm
The Gores Group, LLC is a private equity firm specializing in acquiring and partnering with mature and growing businesses. The company was founded in 1987 by its CEO and chairman, Alec E. Gores.[1]
Headquartered in Los Angeles, California, with an office in Boulder, Colorado, and is investing from Gores Capital Partners III, L.P. and Gores Small Capitalization Partners, L.P., which have approximately $1.5 billion and $300 million in capital commitments, respectively. Since 1987, Gores has successfully acquired and operated more than 80 companies.[2]
The company's portfolio as of 2021, includes technology, telecommunications, business services, industrial, media and entertainment and consumer products companies.[3]
History
In 1978, Alec Gores founded Executive Business Systems, a hardware and software distributor, which he sold eight years later to establish what has become the Gores Group today.[4]
Gores closed its first institutional private equity fund, Gores Capital Partners, L.P., in November 2003 with $400 million of committed capital.[5] The firm's second fund, Gores Capital Partners II, L.P. held a final closing in June 2007 with $1.3 billion of committed capital.[6]
Timeline
1978
- Alec Gores launches his own computer company, Executive Business System (EBS), with $10,000; eight years later, he sells EBS for approximately $2 million current.[7]
1987
- The Gores Group is founded by Alec Gores with the single vision to buy, fix and sell businesses.[8]
1997
1998
2000
2001
2003
- Netherlands-based Anker BV, an independent European supplier of point of sale technology, was acquired, positioning Gores as an investor in Europe.[14]
- The firm launches Gores Capital Partners, its first private equity fund.[7]
2004
- Gores opens its London office, after several years of investment activity in the U.K. and Europe.[7]
2007
- Gores closed on $1.3 billion in capital for its second institutional fund, Gores Capital Partners II, L.P.[15]
2008
- Gores announced a joint venture with Siemens AG for enterprise communication business.[16]
2010
2011
- Gores sells Lineage Power to General Electric in what is the largest sale transaction in Gores’ history.[19]
- Gores closes on $2.1 billion in capital commitments for its third institutional fund, Gores Capital Partners III, L.P.[20]
- Gores acquires an 81.25% majority interest in fashion company Mexx for $85 Million
2012
- Gores Small Capitalization Partners, L.P. sells $300 million in commitments, expanding Gores’ resources for small and lower middle market investments.[21]
- Acquires Harris Broadcast from Harris Corporation in December.[22]
2013
- Stock Building Supply goes public, marking Gores' first U.S. IPO.[23]
2014
- Gores announces plans to close 34 subsidiaries of 45 in total located in Germany and being part of Unify. Close downs are expected to be completed by Q2/2015.
- Gores acquired a 51% stake in Hovis Bread
- Gores sold Norment to Cornerstone, a full service detention equipment contractor based in Alabama[24]
- Gores sells Sage Automotive Interiors to Clearlake Capital[25]
- Gores sells Scovill Fasteners to Morito Co., Ltd., a leading global supplier of apparel fasteners[26]
Portfolio
Current
- Imagine Communications - Developer of advanced broadband video processing equipment
- TurbineAero - Manufacturer of industrial parts and components, specializing in the design and production of aerospace and hot-section components. also offers maintenance, repair and overhaul services to military, commercial, original equipment manufacturers and aircraft operators
- US Farathane - Manufacturer and supplier of functional black plastic, interior and exterior plastic components intended to innovate and pair with solid value
Select Exited
SPACs
Beginning in 2015, Gores Holdings was announced, specializing in special-purpose acquisition companies (SPACs).[38] It was credited with starting the SPAC revival with their first SPAC transaction in Hostess Brands.[39] Gores is considered one of the most prolific investors in the SPAC space, having created 13 SPACs, more than any other single investor,[40] and The Gores Group is considered a premier SPAC sponsor.[41][42][43]
Gores announced or completed more than seven SPAC transactions representing over $36 billion in transaction value.[44]
- Hostess – consumer, maker of Twinkies. Partnered with Apollo and Dean Metropoulos
- Verra – technology mobility services business. Instrumental for safety, specializing in red light cameras, school bus safety, and tolling[45]
- PAE – government logistics services business with large government contracts[46]
- Luminar – first high growth, technology company. Leader in the automotive Lidar space. Partnered with founder, Austin Russell[47]
- United Wholesale Mortgage (UWM) – mortgage tech business. Largest SPAC transaction to date[48][49]
- Matterport – 3D spatial data company revolutionizing the real estate tech space[50]
- Ardagh Metal Packaging (AMP) – metal packaging for consumer products. Largest SPAC spin out of public company.[51] Merger with Gores Holdings V, raising almost $1 billion in gross proceeds[52]
- Sonder – a hospitality company. Merger with Gores Metropoulos II[53]
- Polestar – a global premium EV company. Publicly listed through combination with Gores Guggenheim, Inc. Resulted in an implied enterprise value of $20 billion[54]
Gores launched Gores Holdings VII and Gores Holdings VIII in 2021,[55] and publicly filed for Gores Technology Partners and Gores Technology Partners II,[56] as well as Gores Guggenheim,[57] the latter in partnership with Guggenheim Partners.
