Second Avenue Capital Partners closed on a $10,000,000 senior secured credit facility to the leading maternity apparel sister brands Motherhood Maternity and A Pea in the Pod within the Marquee Brands portfolio. The credit facility will be used for general working capital purposes and will provide the company with additional liquidity for future expansion to implement post-pandemic digital growth initiatives.
At a time when the retail industry shifted focus from brick-and-mortar stores to online shopping, Motherhood Maternity and A Pea in the Pod were already in the process of transition. Following the acquisition by Marquee Brands in 2019, the well-known maternity brands quickly trimmed their brick-and-mortar footprint with a final exit from standalone storefronts in early 2020. Such early moves positioned the two brands to focus attention on each respective website and social platforms to create a more robust customer centric experience and community, as well as offer expecting and new mothers relevant and engaging digital content related to all stages of motherhood.
“We appreciate the efforts from the team at Second Avenue Capital Partners and their comprehensive approach to not only understand our current business, but to bring forth a flexible strategy to support the investment in our future growth initiatives,” said Marla Ryan, Brand Executive Vice President, Motherhood Maternity and A Pea in the Pod. “As we look to catapult forward in a post-pandemic world, and build upon our community connection with mothers, SACP was a natural choice for us based on their ecommerce and retail knowledge.”
“These two maternity brands sit in a highly unique, niche market and possess an enviable ecommerce platform,” said Chris O’Connor, President of Second Avenue Capital Partners. “We knew we could provide them with a capital solution that would exceed their expectations. This facility will serve their business goals as they focus on developing a leading global marketplace and collaborate with strategic partners to achieve continued brand growth. It is an exciting time for companies in the ecommerce space, and we’re excited to play a role in supporting these category leaders’ continued success.”
The Company was founded in 1982, originally as a mail-order catalog under the Mothers Work Inc. name, and was most recently known as Destination Maternity till December 2019. Since its founding, the Company fostered the growth of two brands, Motherhood Maternity and A Pea in the Pod, to become a trusted resource for generations of women and the world's largest designer and retailer of maternity and nursing apparel and accessories. The Company’s investment in a digital re-platform to improve their customers’ online experience was already well underway when the pandemic hit, giving them the opportunity to quickly align their offerings and messaging to meet the needs of expectant mothers.