Arsenal Takes Majority Stake in Velcro, Acquires Interest in the iconic Hook-and-Loop Brand From Cripps Foundation

Arsenal Capital Partners has agreed to acquire a majority stake in Velcro Companies, the New Hampshire-based owner of the VELCRO brand and the original inventor of hook-and-loop fastening technology, from the Cripps Foundation. The Cripps Foundation will continue as a significant minority shareholder.

Velcro Companies is the global developer and manufacturer of the hook-and-loop fastening systems that bear the VELCRO brand — one of the few commercial trademarks to become a common noun in everyday language.

The company's products fasten, bundle, organize, and secure across a breadth of applications that few specialty materials businesses can match: medical devices, data centers, personal care, apparel, transportation components, industrial assembly, defense equipment, and consumer goods. The product portfolio spans the full spectrum from commodity hook-and-loop tape to highly engineered specialty fastening systems designed for demanding end-use environments.

Velcro holds more than 370 patents and numerous trademarks, including the VELCRO trademark itself. The company operates globally with approximately 2,400 employees and manufacturing in multiple countries.

[caption id="attachment_237077" align="alignleft" width="120"] Jeremy Steinfink[/caption]

"The VELCRO brand is one of the most iconic brands in both industrial and consumer fastening technologies, with decades of innovation and a best-in-class product portfolio," said Jeremy Steinfink, an operating partner at Arsenal. "We commend the Cripps Foundation for decades of committed stewardship, and we look forward to partnering with the foundation alongside the management team in this next phase of growth."

Swiss electrical engineer George de Mestral founded the company in 1952 after observing how burdock burrs clung to fabric during a hike and developing a nylon-based fastening system that replicated the mechanism. Gabriella Parisse serves as CEO, having assumed the role in November 2021 as the company's first female chief executive. Ms. Parisse joined Velcro in 2018, serving as chief growth officer before her promotion, and brings more than 30 years of global experience in consumer goods and B2B, including 26 years at Johnson & Johnson. Velcro is headquartered in Manchester, New Hampshire.


[caption id="attachment_237076" align="alignright" width="120"] Gabriella Parisse[/caption]

"We are excited to partner with Arsenal, building on the strong results our team has delivered and the enduring strength of the VELCRO brand," said Ms. Parisse. "With a talented organization and solid momentum, we are well positioned to accelerate growth and unlock the full potential of our company and brand."

The Cripps family, through its private equity vehicle Cohere Limited and subsequently the Cripps Foundation, has been the principal owner of Velcro since the 1970s, when Sir Humphrey Cripps — a British industrialist and philanthropist — became a major shareholder and chairman. The foundation took the company fully private in 2009. The Arsenal transaction marks the first time in more than five decades that the Cripps family will not hold a controlling interest in the business, though it will retain a significant minority stake.

[caption id="attachment_237078" align="alignright" width="120"] Ryan Bermnan[/caption]

"Velcro is a strong fit with Arsenal's focus on building market-leading, specialty materials businesses," said Ryan Berman, a managing director at Arsenal. "The company is at the forefront of the next generation of hook & loop technologies and especially well-positioned to meet the globally evolving needs in fasteners. We look forward to supporting the team through continued investment in innovation and product development."

Arsenal Capital Partners invests in middle-market specialty industrial and healthcare companies that have $100 million to $500 million of enterprise value. Since its founding in 2000, New York City-headquartered Arsenal has raised total capital of $10 billion, closed more than 300 platform and add-on acquisitions, and exited more than 36 portfolio companies. Its most recent funds, Arsenal Capital Fund VI and the Arsenal Growth Fund, closed in August 2022 at a combined $5.4 billion.

Piper Sandler was the financial advisor to Arsenal, and Kirkland & Ellis served as its legal counsel. Greenhill, a Mizuho affiliate, was the financial advisor to Velcro and Mayer Brown served as legal counsel.

The transaction is expected to close in the fourth quarter of 2026.