Contact:
Paul L. Davies III or Christopher Sekula
The Cambria Group
(650) 329-8600
The Cambria Group Completes Investment in Ancient Mosaic Studios
FOR IMMEDIATE RELEASE
MENLO PARK, California, October 1, 2004 – The Cambria Group announced today that it had made a substantial equity investment in Ancient Mosaic Studios, a leading designer and manufacturer of luxury furniture products and accessories.
Cambria acquired a significant stake in the Company, becoming its largest shareholder by providing an infusion of patient capital to stimulate and support its future growth and to provide liquidity to its long-time owners. The transaction is illustrative of Cambria’s investment format, in which the firm acquires a substantial position in an operating company, but does so in conjunction with management and with a commitment from the selling shareholder to retain a significant financial stake.
According to Lew Davies, Cambria’s Managing Principal, Anicent is typical of the companies in which Cambria seeks to invest: "Ancient is a perfect fit for us -- a smaller, low-tech manufacturing business, with a strong competitive position in a niche market and a history of sustained profitability." Cambria brings critical resources to the Company and will seek to build the Company further both organically and by considering strategic acquisitions. According to Mr. Davies, "Cambria’s and our co-investors’ equity infusion positions the Company well to take advantage of growth opportunities before it."
Christopher Sekula, a Principal at Cambria who will join Ancient’s board, emphasized the importance of the other parties involved. “We are delighted to be backing two high-quality executives in Tim Capron and Paul Knutson. They have worked together successfully in the past and we have been exploring acquisition prospects with them for the past two years, so we know we can work well with them.” Mr. Sekula also noted that the firm had other co-investors in the transaction, each of which brings different backgrounds and perspectives, but which all have similar investment goals.
Founded in 1996, The Cambria Group is a private equity firm which acquires and invests in small and mid-sized operating businesses across a wide spectrum of manufacturing, distribution and service industries. The firm’s acquisition targets are generally stable, profitable businesses with valuations under $25 million--typically, private companies or corporate divestitures and all pursued on a friendly basis--where the companies lack both the high growth sought by venture capitalists and the scale required to interest traditional fund-based buyout firms. Cambria’s principals, each of whom has an operating as well as transactional background, provide the majority of the equity themselves and take an active approach in their roles as shareholders and board members.
To date, the firm has made seven investments, including Cobblestone Golf Group, a golf course ownership and management company; Crossbow Technology, a manufacturer of motion-based sensor products and wireless sensor networks; Classroom Connect, an educational publisher focusing on internet products for K-12 classrooms; FleetPride, a distributor of heavy duty truck parts; DSA/Phototech, a manufacturer of illuminated display systems used in store fixture, point-of-purchase and trade exhibit applications; Bacrac Supply Company, a distributor of disposable construction tools and supplies; and Ancient Mosaic Studios. Cambria has exited three of these investments, including two sales to large strategic buyers. Cambria is actively pursuing other acquisition and investment opportunities and plans to assemble a portfolio of approximately ten to twelve stand-alone companies over the next few years.
Cambria’s primary office is in Menlo Park, California, with a satellite office in Lexington, Massachusetts.
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