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đź”´ PRIVATE EQUITY OWNED

Staples

office supplies · Framingham, MA

PE Firm

Sycamore Partners

Year Acquired

2017

“Sycamore bought it for $6.9B, paid itself a $1 billion dividend, then closed a third of the stores.”

The PE Playbook

  • •Sycamore Partners paid itself a $1B dividend in 2019 — recouping ~80% of initial equity while pushing total debt past $5.3B
  • •Closed over 100 stores and laid off 7,000+ workers after the 2017 acquisition
  • •Racked up eight wage-and-hour and health-and-safety violations under PE ownership
  • •Shifted strategy away from retail consumers toward B2B, abandoning the customers who built the brand

Since the Acquisition

  • â–¸After buying Staples for $6.9 billion, Sycamore Partners paid itself a $1 billion dividend, then closed over 100 stores and laid off 7,000+ workers
  • â–¸177 IT employees laid off within four months of the acquisition closing
  • â–¸Roughly one-third of all U.S. Staples stores shuttered under Sycamore's ownership