The Business
Award-winning The Gro Company invented the Grobag Baby Sleep Bag, approved by The Lullaby Trust. Having sold over three million Grobags worldwide, Gro is known as the ‘official baby sleep bag’ brand and has expanded its product range across nursery care and sleep solutions.
The Deal
We backed the MBO of Gro from the original founders in March 2013, investing £7.1m as a Combined Debt and Equity package. We worked alongside the management team to professionalise and expand the business, introducing Chairman Jules Hydleman with a strong record in consumer brands. In 2018, the business was sold to Mayborn Group, the owner of the tommee tippee brand, for an enterprise value of £22m.
The Impact
Following the MBO, Gro launched a range of new products and expanded internationally. It now sells in more than 25 countries. The exit represented a total return of over 2x money and an IRR of over 20%.
