News

Sep 04, 2023

Meet The Renco Group of New York, new owner of Renfro Brands of Mount Airy

The company names are similar, and by all accounts, so are their growth

The company names are similar, and by all accounts, so are their growth ambitions.

Last Thursday, Mount Airy-based Renfro Brands, the world's largest dedicated sock maker, announced it had been acquired by the Renco Group, a private investment firm based in New York.

Following the announcement, Stan Jewell, president and CEO of Renfro Brands, told Triad Business Journal the goals of both companies are aligned and the acquisition unshackles Renfro to invest in long-stymied growth opportunities. Renco, Jewell said, buys companies to grow them, not to break them into pieces or flip them for a quick profit.

Renco Group acquired the company from private equity firm Kelso Group. Terms of the deal were not disclosed.

"Their model is different from private equity," Jewell told TBJ." They don't buy companies and leverage them up with debt. They buy companies and de-leverage them and minimize debt. We’ll be operating with very minimal debt, so that frees us up to operate more effectively."

Renco Group's website confirms Jewell's assessment that it buys and holds companies for the long haul. Founded in 1975, the family-owned company's holdings include:

Combined, those four companies represent more than $5 billion in annual revenues, more than 12,000 employees worldwide and a global footprint with operations in North America, South America, Eastern Europe, Western Europe, Asia and Africa.

According to the company, Renco Group is committed to making long-term investments in Renfro, building value over time by retaining earnings and reinvesting in the business, particularly Renfro's emerging e-commerce platform, Loops & Wales.

"We actively pursued Renfro Brands as they are the clear leader within their category and are poised for continued growth," said Renco Group President Ari Rennert. "With a unique combination of best-in-class owned and licensed brands, longstanding relationships with leading retailers, unparalleled development and supply chain capabilities, and a top-tier management team, Renfro Brands aligns with our values and represents the right opportunity to expand our portfolio."