News

Affiliate of Sun Capital Partners
 Makes Growth Investment in GEM Shopping Network

Fine Jewelry Home Shopping Retailer to Build on Category Leadership

Sun Capital Partners, Inc. (“Sun Capital”) today announced that one of its affiliates has acquired Gem Shopping Network (“Gem Shopping” or “the Company”),a retail business specializing in the sale of unique, high quality colored gemstones and jewelry, primarily through its live TV network. Terms of the private transaction were not disclosed.

Founded by Frank M. Circelli in 1995, the Duluth, Georgia-based company offers one-off, usually single quantity jewelry in 14k-24k gold with colored gemstones, often with accent diamonds. Gem Shopping connects with its loyal and growing customer base through an engaging, interactive TV network that is broadcast via satellite, cable and over the internet, and reaches more than 40 million U.S. households.

Gem Shopping will continue to be run by its strong management team, led by Chief Executive Officer PJ Lynch, who joined in 2011. The team has overseen strong performance over the last three years with sales growing approximately 45%. With the $296 billion U.S. home shopping retail industry projected to increase by nearly 20 percent in the next three years and the jewelry industry projected to reach $78.4 billion in sales by 2015, Gem Shopping is poised to continue its upward trajectory.

“Gem Shopping Network has created a dynamic market niche, which is just as unique as the company’s gemstones,” said Marc Leder, Co-Chief Executive Officer at Sun Capital. “We’re eager to work with PJ and the company’s seasoned management team, as our deep experience in the consumer retail category, combined with their mastery of the TV delivery channel, will help Gem Shopping to expand its leadership and capture significant market opportunity.”

“When I launched the first colored gemstone show on television more than 20 years ago, few could have predicted what the Gem Shopping Network would become today,” said Circelli. “I am confident that Sun Capital and PJ’s team will ensure the business continues to achieve solid growth.”

“I am very excited about this transaction,” said Lynch. “We have made great progress in recent years and we know, with Sun Capital’s operational resources and expertise behind us, we will build on this success as we expand our reach on television and online.”

Sun Capital has strong experience in the fashion and consumer retail sector through current affiliated portfolio companies including Shopko, a $2 billion retailer; The Limited, an iconic fashion retailer of high-quality, private-label apparel; Hanna Andersson, a leading multi-channel retailer of lifestyle branded apparel for children and families; Vince, a men’s and women’s apparel brand operating more than 20 stores; and Scotch & Soda, an apparel brand with more than 94 stores worldwide and more than 7,000 other sales points.

About Sun Capital Partners, Inc.
Sun Capital Partners, Inc. is a pioneer in private equity investing, uniquely combining the financial skills and resources of a traditional private equity firm with the insight and expertise of a world class operating team. The firm focuses on market-leading companies that can benefit from our in-house professionals, resources, and expertise in their efforts to materially improve operating performance. Sun Capital affiliates have invested in more than 325 companies worldwide with combined sales in excess of $45 billion since our inception in 1995. Sun Capital has offices in Boca Raton, Los Angeles and New York, and affiliates in London, Frankfurt, Paris, Luxembourg, Shanghai and Shenzhen. For more information, visit www.SunCapPart.com