The Singer sewing machine company, largely credited with helping develop the U.S. fashion industry by allowing clothes to be made more cheaply and efficiently, is exploring a sale that could fetch more than $500 million

Kohlberg looking to sell Singer sewing machine company – sources

3:51pm EDT

By Olivia Oran

(Reuters) – The Singer sewing machine company, largely credited with helping develop the U.S. fashion industry by allowing clothes to be made more cheaply and efficiently, is exploring a sale that could fetch more than $500 million, three people familiar with the matter said on Wednesday.

Singer, part of the world’s largest sewing machine company, SVP Worldwide, is owned by private equity firm Kohlberg & Company LLC. It is working with investment bank Harris Williams on the potential sale, the people said.

The people declined to be named because the matter is private.

Kolhberg, SVP Worldwide and Harris Williams could not be reached for comment.

SVP was formed by 2006 merger of the Swedish VSM Group, which included the Husqvarna Viking and Pfaff brands, with Kohlberg, which owned the Singer brand. The company also sells machines for embroidery and quilting, as well as garment care products like irons and ironing boards.

The company has roughly $65 million in annual earnings before interest, taxes, depreciation and amortization, the sources said. It sells its products in more than 170 countries and has a greater than 30 percent global market share, according to the Kohlberg website.

Founded in 1851, Singer’s machine improved over previous sewing machine models by allowing users to sew 900 stitches per minute, compared with the 250 stitches previously. The change allowed clothing to be made more quickly and cheaply, helping lead to the establishment of mass production in the fashion industry.

 

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Kee Koon Boon (“KB”) is the co-founder and director of HERO Investment Management which provides specialized fund management and investment advisory services to the ARCHEA Asia HERO Innovators Fund (www.heroinnovator.com), the only Asian SMID-cap tech-focused fund in the industry. KB is an internationally featured investor rooted in the principles of value investing for over a decade as a fund manager and analyst in the Asian capital markets who started his career at a boutique hedge fund in Singapore where he was with the firm since 2002 and was also part of the core investment committee in significantly outperforming the index in the 10-year-plus-old flagship Asian fund. He was also the portfolio manager for Asia-Pacific equities at Korea’s largest mutual fund company. Prior to setting up the H.E.R.O. Innovators Fund, KB was the Chief Investment Officer & CEO of a Singapore Registered Fund Management Company (RFMC) where he is responsible for listed Asian equity investments. KB had taught accounting at the Singapore Management University (SMU) as a faculty member and also pioneered the 15-week course on Accounting Fraud in Asia as an official module at SMU. KB remains grateful and honored to be invited by Singapore’s financial regulator Monetary Authority of Singapore (MAS) to present to their top management team about implementing a world’s first fact-based forward-looking fraud detection framework to bring about benefits for the capital markets in Singapore and for the public and investment community. KB also served the community in sharing his insights in writing articles about value investing and corporate governance in the media that include Business Times, Straits Times, Jakarta Post, Manual of Ideas, Investopedia, TedXWallStreet. He had also presented in top investment, banking and finance conferences in America, Italy, Sydney, Cape Town, HK, China. He has trained CEOs, entrepreneurs, CFOs, management executives in business strategy & business model innovation in Singapore, HK and China.

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