Tag Archive for CVSL

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Longaberger To Close Mall Outlet Stores, Focus On Direct Sales

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The Longaberger Co. has “hit bottom,” but its sales force will benefit from changes made by parent company CVSL, the company stated in a Tuesday conference call.
CVSL, which includes Longaberger as one of its eight direct-selling companies, reported first-quarter revenues decreased by $7.4 million, or 28 percent, compared to 2014.
Longaberger, which has seen its employment fall to 230 total and 68 at its basket-shaped corporate headquarters, has been the main reason for the CVSL revenue decline, according to the CVSL report.

“I think we have hit the bottom at the revenue line,” CVSL CEO and President John Rochon said of Longaberger. “We’re fixing the company. We have a strategy to get the sales back to the sales force.”

CVSL does not report revenues of its individual companies, but did report home decor revenue decreased

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CVSL Company Longaberger CEO Resigns

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Tami Longaberger, who led The Longaberger Co., a direct seller of home and lifestyle products, since her father died in 1999, has resigned as chief executive officer and director of the company.
Longaberger parent company CVSL announced that John Rochon Jr., vice chairman of CVSL and son of the CVSL chairman, will take over as Longaberger chairman, president and CEO.
The company Dave Longaberger founded in 1973 became a $1 billion business in 2000, when it employed more than 8,200 people.
Tami Longaberger became president of the company in 1994, while her father remained as chairman. She took more of a leadership role as her father battled kidney cancer in his final years.
The Newark-based company has struggled for more than a decade, with sales plummeting to roughly $100 million annually and employment dwindling to 230

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CVSL 2014 Revenues Up at $108.8 Million

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CVSL Inc. [NYSE MKT: CVSL] has been recognized on two recent direct selling industry rankings.  Direct Selling News has named CVSL as #84 on the 2015 Global 100 list of the top revenue-generating direct selling companies in the world.  It also has ranked CVSL as #45 on the 2015 North America 50, which lists the top direct selling companies in North America.  
CVSL’s 2015 global ranking is 15 spots higher than last year, when CVSL ranked #99.
The 2015 ranking does not include CVSL’s most recent acquisition, Kleeneze, which joined CVSL after the rankings were calculated.  Kleeneze made the Global 100 list on its own, coming in at #100.

“For a company like CVSL that is only two years old, ranking #84 on the Direct Selling News Global 100 is an impressive distinction,” said CVSL Vice Chairman John Rochon, Jr. 

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CVSL Funds And Closes Acquisition Of Kleeneze

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CVSL Inc. [NYSE MKT: CVSL] announced today that it has successfully funded and closed its previously-announced acquisition of Kleeneze, one of the UK’s longest-operating, largest and best-known direct-to-consumer businesses. With the addition of Kleeneze, CVSL’s business portfolio expands to nine companies.
The most recently reported revenue of Kleeneze and CVSL combines for over $180 million.

“We are pleased that this latest addition to the CVSL federation of direct-to-consumer companies is now complete,” said John Rochon Jr., CVSL’s vice chairman and chief financial officer. “We have said that our 2015 priority is to continue making acquisitions. This represents another step forward in our buildup strategy.”

CVSL has purchased 100% of the shares of Kleeneze from Findel PLC for a total consideration of $5.1 million. The consideration included $3 million of senior debt provided by HSBC Bank PLC. The remainder was funded by

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CVSL Reports End Of Year Results: Up $23.9 Million

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CVSL Inc. [NYSE MKT: CVSL] today released results for the year ended December 31, 2014, its second year of operation as a federation of direct-to-consumer companies. 
Revenue for 2014 increased by 28.2%, or $23.9 million, from $84.9 million the previous year to $108.8 million. CVSL’s gross profit increased by 47%, from $35.6 million to $52.4 million.
CVSL’s total stockholders’ equity was $8.9 million on December 31, 2014. On a pro forma basis, including the recently-closed offering of common stock on March 4, 2015, total stockholders’ equity would exceed $26 million. Total long-term debt has been reduced by 80%, down to $5.3 million. CVSL’s bank line of credit was approximately $9 million a year ago and is now fully paid off.
Reported operating loss for 2014 was $20.1 million. “While our company significantly increased its revenue and gross profit during the year, our bottom line results were affected by a range of expenses connected

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CVSL Signs Agreement To Acquire Kleeneze

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CVSL Inc. announced today that it has signed an agreement to acquire Kleeneze, a United Kingdom-based direct-to-consumer company.  The consummation of the acquisition is subject to certain conditions, including approval by the New York Stock Exchange MKT.
Kleeneze is one of the U.K.’s longest-operating, largest and best-known direct-to-consumer businesses.  Founded in 1923, the company has grown into a community of more than 7,000 independent distributorships, offering a wide variety of several thousand cleaning, health, beauty, home, outdoor and other products to customers across the U.K. and Ireland.  Kleeneze is a founding member of the U.K. Direct Selling Association.
Under the terms of the agreement, CVSL will purchase 100% of the shares of Kleeneze from Findel PLC.  Both the CVSL and Findel boards have approved the terms.  It is anticipated that closing will take place by the end of the First Quarter.

“Kleeneze has an extensive product line, a nearly century-long heritage, a well-known brand and a robust presence throughout the U.K.  We believe Kleeneze will be an outstanding addition to our CVSL family of companies,” said John Rochon Jr., CVSL’s vice chairman and head of its investment committee.  “Kleeneze gives CVSL a very significant presence in the U.K. and represents an important step forward in CVSL’s international

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CVSL Stock Opens, Closes At $13 In Debut

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CVSL, a holding company for direct sale businesses, debuted on the New York Stock Exchange Friday, uplisting from an over the counter exchange.
Dually headquartered in Dallas and Luzern, Switzerland, CVSL saw its stock traded as high as $19.85 per share on the OTC market in the past year. It hit NYSE under the ticker symbol CVSL and opened and closed at $13 per share.

“We didn’t really anticipate a large change in the pricing, the point was more to be on the stock exchange,” said Russell Mack, vice president of the company. “This was the first step of a long-term strategy.”

Just over 18 months ago, CVSL made its first acquisition, buying Longaberger, an Ohio company that creates pottery and baskets. It now owns eight businesses in the direct to consumer market and want to continue to add to its portfolio. M&A will be the company’s major focus in 2015 as it works to grow geographically and across industries.
“Right now out of our companies we represent nine industries,” Mack said. “What we want to do is build outward and diversify so CVSL represents as many categories of direct to consumer as possible.”

“We also want to expand geographically,” he added. “We’re currently selling in

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CVSL, Direct-Selling Acquisition Company, Requests To Raise $100 Million

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CVSL Inc.[NYSE MKT: CVSL] said today that is has filed a  shelf registration statement on Form S-3 with the U.S. Securities and Exchange Commission (SEC) to allow the Company to raise up to $100 million in incremental capital on an as-needed basis for acquisitions and general working capital. 
The registration statement also includes a sales agreement prospectus that would allow for the sale of up to $25 million in at-the-market (ATM) offerings. 
The registration statement has been filed, but has not yet become effective.  At the present time, the Company has no specific plans to issue securities under the registration statement.  If and when the registration statement is declared effective by the SEC, the Company will be able to offer and sell, from time to time, up to $100 million of securities such as common stock, preferred stock, debt securities, warrants, units or any combination thereof. 
Following the effectiveness of the shelf registration statement, the Company may periodically offer one or more of the registered securities in amounts, at prices, and on terms to be announced when, and if, the securities are offered.  The terms of any securities offered under the registration statement, and the intended use of the net proceeds resulting therefrom, will

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Direct Selling Company CVSL Withdraws $60 Million Equity Raise

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CVSL, which acquires and improves the operations of small direct selling businesses, withdrew its plans for a public offering on the NYSE MKT on Friday. It is currently traded on the OTCQX Marketplace under the symbol CVSL and commands a market cap of about $350 million. It first filed in May and planned to raise $60 million in November. While the company has withdrawn its plans for an equity raise, it still plans to uplist to a major exchange within the next several trading days. 
CVSL is controlled by Chairman and CEO John Rochon, the former head of Mary Kay. Its nine portfolio companies’ industries include home improvement, gourmet foods, skin care and nutritionals. CVSL builds these independent businesses using its expertise in e-commerce, social media and micro-enterprise strategy as well as bringing efficiencies in finance, IT and the supply chain. 
The Plano, TX-based company was founded in 2007 and booked $89 million in sales for the 12 months ended September 30, 2014. It had planned to list on the NYSE MKT under the symbol CVSL. Cantor Fitzgerald, JMP Securities and Janney Montgomery Scott were set to be the joint bookrunners on the deal.
The article Direct selling company CVSL withdraws $60 million equity raise originally appeared

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Direct Selling Investor CVSL To Raise $60 Million In IPO

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CVSL (CVSL) plans to raise $60 million in an IPO on Tuesday, November 25th. The company will issue 6,700,000 shares at $8.00-$10.00 per share.
In the last year, CVSL generated $111.3 million in revenue and had a net loss of $11.1 million. CVSL has a market-cap of $445.4 million.
Cantor Fitzgerald, JMP Securities and Janney Montgomery Scott served as the underwriters for the IPO and Feltl and Company and National Securities Corporation were co-managers.
CVSL provided the following description of their company for its IPO: “(Note: Not an IPO – “Our common stock is traded on the OTCQX Marketplace, operated by the OTC Markets Group, under the symbol “CVSL.”)
We operate a multi-brand direct selling/micro-enterprise company that employs innovative operational, marketing, social networking and e-commerce strategies to drive a high-growth global business.
We are engaged in a long-term strategy to develop a large, global, diverse, company that combines the entrepreneurship, innovation and relationship-based commerce of micro-enterprise with the infrastructure and operational excellence of a large scale company. We are building an online “community” consisting of a growing number of entrepreneurs and their customers, who can share various economic benefits of membership.
Our growth is supported by a highly disciplined acquisition strategy focused on

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