Richard Childress Racing
July 16, 2012
RCR Minority Partner Considering Selling Equity Position
"Chartwell has been a great partner and I will always be appreciative of our partnership. We will remain good friends."
WELCOME, N.C. (JULY 16, 2012) – Richard Childress Racing has advised its employees, drivers and key sponsors that Chartwell Investments is considering exiting its minority equity position in RCR.
“Since 2003, I have had a minority partner at RCR in Chartwell Investments,” said Richard Childress, president and CEO of Richard Childress Racing. “Like any private equity business, Chartwell has a duty to its investors to return capital and maximize profits in a reasonable timeframe. With my support, they have determined that now is an appropriate time to exit their investment in RCR. Chartwell has been a great partner and I will always be appreciative of our partnership. We will remain good friends.
“We have informed the key people and sponsors of RCR about Chartwell’s decision and assured them this will have no impact on the current affairs at RCR or our continued vision for strong performance on and off the track. We have advised them that if a new investor comes on board as RCR’s new partner they will be strategically chosen to help RCR continue to grow. Our family of corporate partners has all been very appreciative of our letting them know and remain committed to moving forward. I love what I do and plan to be involved in NASCAR and in running RCR for many years to come.”
“RCR is one of the elite NASCAR organizations and we are honored to be a part of the RCR family and partners with racing icon Richard Childress for close to ten years,” said Michael Shein, Managing Partner of Chartwell Investments. “During this period, RCR has continued to prosper, more than doubling the size of its business. We are equally optimistic about RCR’s future performance both on and off the track, remaining confident in NASCAR’s long-term potential. We have engaged The Raine Group to explore the potential sale of our interest in RCR in order to monetize our investment.”
The Raine Group is a global merchant bank focused exclusively on the digital, media & entertainment and sports & lifestyle sectors.
About Chartwell Investments:
Chartwell Investments is a private investment firm that invests in leading middle market companies with an emphasis on partnering with family and entrepreneurially-owned businesses. Chartwell focuses on companies with outstanding management teams and compelling business models that can benefit from our strategic, financial and operational support. We have a long-term investment horizon without structural requirements to exit our investments within defined time periods. We are focused on building long-term value in our investments. Transaction types include recapitalizations, buyouts and growth equity investments in niche market leaders.
For more information, visit www.chartwellinvestments.com.
About Richard Childress Racing
Richard Childress Racing (www.rcrracing.com) has earned more than 200 victories and 14 championships, including six in the NASCAR Sprint Cup Series with the legendary Dale Earnhardt. RCR was the first organization to win championships in the Sprint Cup Series, Nationwide Series and Camping World Truck Series. Its current Sprint Cup Series lineup includes Paul Menard (No. 27 Menards Chevrolet), Kevin Harvick (No. 29 Budweiser/Rheem/Jimmy John's Chevrolet) and Jeff Burton (No. 31 Caterpillar/Wheaties/BB&T Chevrolet). Its Nationwide Series program includes Elliott Sadler (No. 2 One Main Financial Chevrolet), 2011 Camping World Truck Series champion Austin Dillon (No. 3 Advocare/American Ethanol/ Bass Pro Shops Chevrolet) and Harvick/Brendan Gaughan/Menard (No. 33 South Point Hotel & Casino/Menards/Hunt Brothers Pizza/Armour Brand/Fast Fixin’/ Chevrolet). Tim George Jr./Gaughan/Harvick (No. 2 Potomac Family Dining Group/South Point Hotel & Casino/Kroger/Tide Chevrolet), Joey Coulter (No. 22 RCR/Armour Brand/Husky Liners Chevrolet) and 2011 ARCA Racing Series champion Ty Dillon (No.3 Bass Pro Shops Chevrolet) compete in the 2012 Camping World Truck Series season.