Blyth, Inc.

History

On May 13, 2002, Blyth announced that it has acquired all of the membership interest in CBK, Ltd., LLC, a designer and marketer of giftware and home decor, sold under the CBK brand. Blyth purchased the interests in CBK for total cash consideration of approximately $49.5 million. Midwest CBK was sold to MVP Group International in 2011. CBK was to remain obligated on its indebtedness, including approximately $4.8 million of long-term debt.

In 2012 Blyth sold the brand Sterno, which it had acquired in 1997.

In 2015, Blyth was acquired by the private equity firm Carlyle Group. Subsidiary Silver Star Brands was sold to Crosby Rock, leaving Blyth with PartyLite.

ViSalus

Main article: ViSalus

In 2008 Blyth began a multi-stage takeover of ViSalus, a multi-level marketing company which sells nutritional supplements and energy drinks. In the first stage of the takeover Blyth purchased a 43.6% equity interest for $14.0 million. In 2011 Blyth invested an additional $2.5 million and increasing their ownership share to 57.5%.

By August 2012 Blyth owned a 73% share of Visalus and planned a spin off of the company in an initial public offering. In September 2012, Moody's Investors Service downgraded Blyth's credit from "stable" to "negative," Blyth stated that ViSalus's growth was not properly valued, and Blyth withdrew the IPO citing uncertain market conditions.

In September 2014, ViSalus' founders and select stockholders arranged to buy back control of the company from Blyth. Blyth remained an equity holder with 10% of ViSalus's stock. The transaction eliminated Blyth's obligation to pay the co-founders $143.2 million as part of the 2008 acquisition. At the time of the transaction, ViSalus' earnings and revenue had declined from a high-point in 2012, and the company had been operating at a loss for 2013 and the first two quarters of 2014.

References

References

1. "Blyth, Inc., Form 10-K, Annual Report, Filing Date Mar 14, 2013". secdatabase.com.
2. "Blyth, Inc., Form 8-K, Current Report, Filing Date May 15, 2002". secdatabase.com.
3. "MVP Group Acquires Midwest-CBK {{!}} Home Furnishings News".
4. (29 October 2012). "Blyth, Inc. Announces Sale Of Sterno Business (Press release)". Bloomberg.
5. "Blyth Timeline". Blyth, Inc..
6. "Carlyle Drops $98M On Candle Merchant".
7. "Crosby Rock".
8. (2015-04-21). "ViSalus Launches 'NEON' Energy Drink".
9. FNS, Summer Banks. (2018-05-15). "Visalus Review {{!}} Are MLM Products for Weight Loss?".
10. Edgar Online via Yahoo Finance. "Blyth Inc. 10K - 4/18/2011".
11. DM News. "Blyth Makes Two Acquisitions".
12. "Blyth, Inc. Completes Third Closing of ViSalus Acquisition". Reuters.
13. (September 20, 2012). "Moody's lowers outlook on Blyth". [[Bloomberg Businessweek]].
14. (26 September 2012). "Blyth's ViSalus unit pulls plans for IPO". Marketwatch.
15. Boyd, Roddy. (26 November 2012). "The Infernal Machine: From Powder to Dust". Southern Investigative Reporting Foundation.
16. (5 September 2014). "ViSalus Completes Founder-Led Management Buyout (Press Release)". MarketWatch.
17. (14 September 2014). "ViSalus co-founders buy back stake, launch new product line". Crain's Detroit Business.
18. (3 September 2014). "Blyth Inc. (BTH) Is Up Sharply After Majority Sale Of ViSalus". RTT News.