Inside Communications to Become Part of Competitor Group, Inc., Leading Endurance Sport Media and Event Platform Created by Falconhead Just One Month Ago
NEW YORK, N.Y., SAN DIEGO, Calif., and BOULDER, Co., February 11, 2008 – Falconhead Capital, LLC, a private equity firm specializing in investments in consumer-focused businesses in the sport, leisure, lifestyle, and media categories, today announced that it has signed a definitive agreement to acquire Inside Communications, Inc. (ICI), of Boulder, Colorado, a leading publisher in the competitive cycling and triathlon segments of the endurance sport industry.
Upon completion of the transaction, ICI’s publications, events and other operations will become part of Falconhead Capital portfolio company Competitor Group, Inc. (CGI), whose formation by Falconhead through three separate endurance-sport acquisitions was announced on January 7th, just over one month ago. When the ICI transaction is completed, Competitor Group’s publications will have total monthly circulation of more than 500,000, and their websites will have more than 1.1 million unique visitors per month.
David S. Moross, chairman and chief executive officer of Falconhead Capital, said: “The addition of Inside Communications will give Competitor Group a major presence in the competitive cycling space. It will establish CGI as the unquestioned leader and go-to company spanning every sector of the endurance sport event and publishing industry for participants (both professional and amateur), fans and advertisers alike, with a unique and growing combination of endurance sport publishing, new-media and event properties. We are delighted to welcome ICI founder Felix Magowan and his colleagues to the Falconhead and Competitor Group family of companies.”
Felix Magowan, who co-founded Inside Communications with John Wilcockson in 1987, said: “I’m delighted to partner with David Moross and his colleagues at Falconhead Capital, as well as with CGI chief executive officer Peter Englehart, whom I’ve known since 1995. This transaction will enable all of us in the ICI organization to accelerate our growth, better serve our readers, customers, advertisers and other constituents, and take our business to the next level. I look forward to working with David, Peter and their team to achieve that shared objective.”
Based in Boulder, Colorado, where it will remain following completion of the transaction, ICI publishes VeloNews and Inside Triathlon, leading magazines in the competitive cycling and endurance sport industries; produces event-specific glossy magazines such as the Tour de France Guide; offers interactive online services related to all titles; publishes books in its VeloPress division; operates the Velo merchandise catalog and e-commerce site; and organizes events such as the VeloSwap consumer expo.
Competitor Group’s endurance sport event and publishing assets currently include Elite Racing, the largest owner and operator of running events; Triathlete Magazine, the largest triathlete consumer magazine and online content provider; and Competitor Publishing, which publishes regional endurance sport related magazines with controlled monthly circulation totaling about 450,000, and which also owns the Muddy Buddy bike/run relay events held each year at multiple locations around the country.
Completion of the ICI transaction, financial terms of which were not disclosed, is subject to customary closing conditions and is expected to occur in 30 to 45 days.
Falconhead Capital, LLC (www.falconheadcapital.com), with $500 million of assets under management, is a private equity firm established in 1998 to provide investors with significant long-term capital appreciation by investing globally in consumer-focused businesses in the sport, leisure, lifestyle, and media categories. In addition to Competitor Group, Inc., Falconhead Capital's current portfolio investments include Extreme Fitness, Inc., Our365 (f/k/a Growing Family), Escort, Inc., and Premier, Inc. Past Falconhead portfolio investments including, among others, National Powersport Auctions, Maritime Telecommunications Network, The Golf Warehouse, and ESPN Classic Europe, LLC.