CONOVER, N.C. — American Leather Holdings LLC, a custom leather furniture manufacturer and portfolio company of Capital Partners Private Equity Income Fund II LP, has acquired Lee Industries.
American Leather acquired Lee on Sept. 28. Lee manufactures beds, sofas, and other upholstered furniture.
“The complementary nature of our two fantastic cultures and diverse strengths is an exciting proposition — and establishes a robust base for future growth opportunities,” said Bruce Birnbach, American Leather and Lee Industries president and CEO, in a statement from Capital Partners. “American Leather is known for its transitional to contemporary styling and heavy focus on speed, innovation and engineering. Lee is known for its design and customization of well-curated traditional to transitional lifestyle products. With these areas of expertise, both companies will learn from one another and together, our potential is unlimited.”
According to the statement, Capital Partners structured the Lee transaction with equity and only a moderate level of debt financing, in order to provide a strong balance sheet from which to implement its growth plan.
Lee Industries has manufactured high-end furniture in Conover, North Carolina since 1969. The company employs over 670 workers and runs four manufacturing facilities across North Carolina.
American Leather, founded in 1990, produces custom-upholstered leather and fabric furniture at its Dallas facility. The company was acquired by Capital Partners in July 2012.