LOS ANGELES, CA (September 5, 2013) – Platinum Equity and The Gores Group announced today the sale of Alliance Entertainment to California-based music and video wholesaler Super D. Financial terms of the transaction were not disclosed.
Alliance is the largest wholesale distributor of CD, DVD and Blu-Ray titles in the United States, providing distribution, fulfillment and other services to such retailers as Barnes & Noble, Amazon.com, Wal-Mart.com, Target.com and BestBuy.com.
Platinum Equity and The Gores Group acquired Alliance from Source Interlink Companies, Inc. in 2010.
“We are proud of what we accomplished with Alliance Entertainment over the past three years,” said Johnny Lopez, partner at Platinum Equity. “We achieved our goals, helping the business thrive as it has continued navigating the evolving market for media distribution. Earnings improved each year under our ownership and the company made strong gains in home entertainment, e-commerce and licensing.”
Alliance also completed two strategic add-on acquisitions, acquiring EDGE Entertainment Distribution in March 2011 and Audiolife in May 2012. The acquisitions helped Alliance expand into new product categories and diversify its customer base.
Jon Gimbel, Principal of The Gores Group, said, “We have enjoyed working with the Alliance team over the last few years and would like to thank them for their hard work and dedication. We are confident that Alliance will continue to prosper alongside the Super D team.”
About Platinum Equity
Platinum Equity (www.platinumequity.com) is a global M&A&O® firm specializing in the merger, acquisition and operation of companies that provide services and solutions to customers in a broad range of business markets, including information technology, telecommunications, transportation and logistics, metals services and manufacturing. Since its founding in 1995 by Tom Gores, Platinum Equity has completed more than 150 acquisitions.
About The Gores Group
The Gores Group, LLC is a global investment firm focused on acquiring controlling interests in mature and growing businesses which can benefit from the firm's operating experience and flexible capital base. The firm combines the operational expertise and detailed due diligence capabilities of a strategic buyer with the seasoned M&A team of a traditional financial buyer. The Gores Group, which was founded in 1987 by Alec E. Gores, has become a leading investor having demonstrated over time a reliable track record of creating substantial value in its portfolio companies alongside management. Headquartered in Los Angeles, The Gores Group maintains offices in Boulder, CO, and London, UK. For more information, please visit www.gores.com.
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