In 1996, Advent led a majority recapitalization of Kirkland's, a leading mall-based specialty retailer of decorative home accessories and gift items.
We were attracted to the company because of its proven retail concept based on 25 years of operating history and success. Kirkland's had developed a unique merchandising mix in a visually appealing format that generated consistently strong store performance. The company also had a highly experienced management team and robust expansion opportunities.
Our investment enabled Kirkland's to embark on an aggressive expansion program, more than doubling its size from 100 stores and $112 million in revenue in 1995 to over 230 stores and $307 million in revenue in 2001. The investment also allowed the company to build its infrastructure and information systems to support its growth.
After six years of working together with Advent, Kirkland's successfully completed a $90 million IPO on Nasdaq (KIRK) in July 2002, despite difficult market conditions. The offering allowed the retailer to repay nearly all its original LBO debt and positioned the company to continue to execute on its nationwide expansion plan.