Capstone Headwaters, now Capstone Partners, advised Spalding Laboratories, a provider of non-toxic insect control products and services for horses, livestock, and pets, on its sale to The Equine Network.
The acquisition of Spalding serves as a key growth driver to expand Equine Network’s membership services offerings. In addition to adding a suite of high-value products and customer service, Spalding brings with it, best-in-class technology to power the combined entity’s membership marketing, management, and delivery of services.
Founded in 1977, Spalding Laboratories has become the industry leading provider of all-natural biological and botanical insect control solutions for horses, as well as livestock and pets on a recurring annual basis. In 2002, Tom Spalding took over the business from his mother, and has helped to grow membership from 3,700 to more than 60,000 customers annually. The Company has pioneered the direct-to-consumer business model using a proprietary software platform, and with Spalding’s leadership, successfully evolved from a direct mail catalog business into one of the most sophisticated, digital marketing and membership services firms in the equine industry.
The Capstone team did a far better job prepping us for this transaction than we possibly could have done on our own, and their guidance throughout the process allowed us to keep running the company during our busy season. They presented a thorough list of potential acquirers that ranged from private equity firms, to strategic buyers, and family offices. This was a universe we wouldn’t have possibly reached or even known about without Capstone. We ended up meeting with several very qualified partners and within a month of concluding management meetings, we reached agreement on terms of our deal. Throughout all of this, the Capstone team provided great advice and guidance.
According to Tom Elliott, Capstone Managing Director who led the deal, “Tom Spalding is the quintessential serial entrepreneur and we were proud to represent him on this transaction. Spalding Labs is another example of a highly successful company, with a Direct-to-Consumer model in an enthusiast market, where Capstone was able to generate a high level of interest and close the deal with an ideal partner for the business.”
The Equine Network is the world’s premier horse enthusiast group whose membership services are designed to entertain, support, and inform the equine community, and include unique tech-enabled services for horse owners, live equestrian events, innovative content, and engaging digital experiences.