“During the past few years, VIP Cinema Seating pursued significant growth opportunities in our industry. MML was an excellent financial partner who supported our business plan with thoughtful input, capital resources and a flexible mind set.”

Steve Simons, President and CEO, VIP Cinema Seating

VIP Cinema Seating

vipluxuryseating.com
Organic expansion and diversification initiatives.

The business

Founded in 2008 and headquartered in Mississippi, VIP Cinema Seating ("VIP") is the leader in designing, engineering, and manufacturing premium seating solutions for the global cinema and entertainment industry. VIP helped to pioneer the premium seating concept and is the largest manufacturer of luxury cinema seating in the world.

The deal

VIP’s owner-managers were seeking an institutional minority equity partner to help pursue substantial growth opportunities and instil best practices in preparation of a broader sale transaction in the near-term future. VIP represented an opportunity to back Steve and his strong, incumbent management team in a large addressable market underpinned by customers experiencing multi-year upgrade cycles. MML invested in the off-market opportunity for a significant minority stake in partnership with VIP’s founding owner-managers.

The exit

During MML’s investment period, VIP experienced significant top line growth, diversification, and overall enhancement of its mix of business. MML brought board-level support and analysis to assist VIP in expanding its manufacturing capacity from two to five facilities while also executing on plans to develop an international presence. By 2017, VIP had grown its EBITDA by 5x and the business was acquired by a US-based private equity investor.

Fund
Partnership
Region
US
Deal Status
Realised
Sector
Industrials

Related news

5.5x return achieved on MML Capital Partners Fund V investment in VIP
MML Capital Partners (“MML”) has exited its investment in VIP Cinema Holdings, Inc. (“VIP”) following an investment made by an affiliate of H.I.G. Capital.
MML completes investment in VIP Cinema Seating
MML Capital Partners ("MML") is pleased to announce that it has made an investment in VIP Cinema Seating ("VIP").

Associated deal team

Robert M. Davies

Partner
US

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