Parallel Investment Partners has sold Obsession Holdings to Kingswood Capital Management

Obsession Holdings

Based in Miramar, Florida, Obsession Holdings is a leading specialty retailer of fragrances through its brands, The Fragrance Outlet and Perfumania. The company sells designer and propriety fragrances across its U.S. retail footprint and online platforms. Obsession operates more than 220 locations, split between The Fragrance Outlet and Perfumania banners. For more information, please visit www.fragranceoutlet.com and www.perfumania.com.

The Deal

Under the stewardship of Parallel Investment Partners, Obsession grew successfully from a footprint of 60 locations into the nation’s leading fragrance retailer with more than 220 locations, focusing on outlet and regional malls. The Fragrance Outlet successfully executed a merger with Perfumania in late 2019, combining two leading fragrance retailers. The company has demonstrated exceptional financial performance and strong growth, both through organic initiatives and new store openings. As the company continued to scale, Parallel engaged Lincoln International to find a partner that could support Obsession in its next stage of growth.

Our Perspective

Charles Walder, Managing Director in Lincoln’s Consumer Group, commented, “Obsession experienced tremendous growth during its partnership with Parallel. During their partnership, Obsession grew to be the industry leader in the fragrance retail space. Led by a best-in-class management team, we expect this success story to continue with the company’s new partner, Kingswood Capital Management.”

Parallel Investment Partners

Since 1999, Parallel has been among the leading institutional private equity firms focused exclusively on investing in North American lower middle-market growth companies. Its team has successfully invested more than $600 million of equity capital in more than 35 owner-operated growth companies. The Parallel team has the knowledge, experience and resources to address the needs of vibrant companies seeking liquidity or dynamic growth solutions. Whether pursuing a recapitalization, buyout, or growth capital investment, a partnership with the Parallel team represents a superior value proposition.

Kingswood Capital Management

Kingswood is a private investment firm primarily focused on businesses in transition. In addition to access to capital, Kingswood brings relevant industry relationships and a broad network of internal and external operating resources that can strengthen the businesses it partners with and enhance value. Kingswood has extensive experience with complex transactions where it provides tailored solutions that balance the objectives of all constituents. For more information, please visit www.kingswood-capital.com.

Connect with a Senior Team Member
Lincoln’s combination of strong multi-unit expertise and investor relationships made them a valuable partner throughout the sale process. Lincoln’s highly engaged and collaborative bankers offered critical advice every step of the way and we were able to find the right partner while achieving a strong outcome for all stakeholders. We are thankful for the partnership with Parallel and are proud of what we were able to achieve together. We are excited for the next stage of Obsession’s growth trajectory.
Frank Mroczka
Chief Executive Officer of Obsession Holdings

Meet our Senior Team

Any information or testimonials contained in this post may not be representative of the experience of other clients and is no guarantee of future performance or success.