Dallas menswear startup Mizzen+Main has raised its third round of funding from a consumer-focused private equity firm that manages $15 billion in funds.
Connecticut-based L Catterton, the result of a 2016 merger between Catterton, LVMH and Groupe Arnault, identifies itself as the “largest consumer-focused private equity firm in the world.” The firm represents Mizzen+Main’s first institutional investor since its inception in July 2012. Financial terms of the deal were not disclosed, but L Catterton will have a seat on Mizzen+Main’s board. Prior to the latest round announced Wednesday, Mizzen+Main raised $4 million from family and friends and high-net-worth individuals including Hunter Hunt and Bobby Lyle of Dallas. The latest investment came from L Catterton’s Growth Fund, aimed at fast-growing companies seeking between $10 million and $50 million of capital.
“The idea here is for us to amplify what’s already happening,” CEO Kevin Lavelle said about his plans for the funding. “We’re really ramping up our sales and marketing efforts with more content and more collateral with bigger players.”
Mizzen+Main is known for its moisture-wicking dress shirts and its line of menswear products is sold in over 300 stores. It recently has been expanding with Nordstrom after successfully selling at its stores in NorthPark Center in Dallas and The Galleria in Houston. Nordstrom rolled out Mizzen+Main products to nine more stores last month with the possibility of accelerating expansion plans across its footprint later this year. Meanwhile, its team of 21 employees is expected to add up to six more people within the next six months.
Mizzen+Main quadrupled in revenue in its first couple of years. In 2016, it more than doubled. Lavelle expects the company to double every year in the next several years, he said. The company did not release revenue figures.
Lavelle connected with L Catterton through his professional network. The Dallas startup had previously been approached by institutional investors interested in funding the company before the company was ready to accept that type of investment. So when Mizzen+Main began considering adding an institutional investor in the second half of last year, it circled back to its previous connections. L Catterton was a natural fit, Lavelle said.
L Catterton invests across eight industries: food and beverage, retail and restaurants, beauty and wellness, fashion and accessories, consumer products and services, consumer health, media and marketing services, and real estate. In addition to Mizzen+Main, L Catterton’s portfolio includes Dallas-based Velvet Taco, Austin-based Hop Doddy, and international clothing brands 2XU, ba&sh, and R.M. Williams. It has been in business for nearly 30 years.
“We’re very excited about the skill and experience level they bring to the table,” Lavelle said, adding that his company’s goal is to become the next great American brand. “When we think of how you build a household name—these are folks that have a very good understanding of that.”
