Michaels Stores

exited

Retail — Bain Capital / Blackstone

Deal Terms

Entry Year2006

Entry EV$6B

Entry Multiple9x

Leverage6x

Debt Amount$4.8B

Outcome

Exit Year2014

Risk Metrics

LTV (est.)80%

Debt / EV0.80x

Notes

$6B LBO — Bain/Blackstone put up $1.7B equity. $4.8B in credit facilities and junk bonds. Arts & crafts retailer. IPO'd 2014 at $17/share. Cash multiple of 2x over 8 years = 9.6% annual return, UNDERPERFORMING S&P 400. Apollo then acquired Michaels for $5B (2021) — serial PE retail flip.

Sponsor

Blackstone$1270B AUM