MiddleGround Capital Acquires HLC

Lévis, QC, September 14, 2022 – HLC Inc., one of North America’s leading distributors of bicycle parts and accessories, has been sold to MiddleGround Capital, a Kentucky-based investment fund that is an expert in distribution. With more than US$2 billion in assets under management, MiddleGround Capital is partnering with HLC’s management team and will benefit from its strong market position, as well as positive industry fundamentals.

A North American leader

Headquartered in Lévis, Québec and Lexington, South Carolina, HLC honors the rich heritage of both the Hawley and Lambert families from its four distribution centers across Canada and the US. The company, which was founded over 75 years ago, is considered a critical distribution partner to well established and start-up brands, providing unparalleled post-sales service. HLC distributes more than 170 leading brands in the cycling world including SRAM, Shimano, Garmin, ABUS, RockShox, Kuat, Tacx and Muc-Off. HLC also has a portfolio of best-in-class owned brands including Evo, WheelShop, PWR bikes and Eclypse.

Two years of exceptional growth

While HLC has always focused on expanding its network of bike retailers, as well as its portfolio of brands, the growth since 2020 has been explosive. HLC was acquired by a group of private investors assembled by Phoenix Partners in 2013. These investors sold 100% of their stake and realized an excellent transaction.

About Phoenix Partners

Established in 2012, Phoenix Partners is a private equity group focused on acquiring controlling interests in traditional and mid-market businesses. Relying on an experienced and complementary team of professionals with extensive experience in the acquisition and management of private and public businesses, financing and capital markets, Phoenix Partners allows its partner companies to reach new heights.

Information for media representatives only:

François Fauteux
Managing Partner
Phoenix Partners
Mobile: 514 703-0302