Former Spy CEO Seth Hamot, who was also the largest shareholder. He passed away in March 2018. File photo courtesy of Spy.
We followed up with the leadership of Spy Optic and new owner Bollé Brands to find out more about the acquisition and what it means for the brand.
Spy Optic has been in a state of limbo due to the sad passing of Seth Hamot after an 18-month battle with lymphoma. Seth was Spy’s largest shareholder, and he also served as CEO.
Since Seth was the majority owner of the company, Spy needed to find a new investor. After he passed away, Spy was in somewhat of a holding pattern as it looked for a buyer.
New owner Bollé Brands is backed by private equity firm A&M Capital Europe, which is wrapping several eyewear brands together.
Bollé, now based in Lyon, France, was previously owned by Vista Outdoors, which sold the eyewear brands Bollé, Bollé Safety, Cébé and Serengeti to A&M for $158 million in September 2018, according to Vista Outdoors.
A&M has since added H2Optix to the group.
Spy now joins that family, which hopefully means the new owners, A&M, will be investing in Spy to spur growth.
While Spy operates in other channels in addition to boardsports, the brand has lost significant market share in the boardsports in the past 10 years, according to ActionWatch data.
Below, Bollé Brands CEO Peter Smith and Spy CEO Stephen Roseman answer a few questions about deal.
Smith joined Bollé Brands after A&M acquired the group. Previously, he worked at companies such as Musto, Nike, Reebok, Lacoste, Berghaus and Paul Smith.
Why is Spy a good fit for the Bollé group?
Bollé Brands CEO Peter Smith
Bollé Brands CEO Peter Smith: SPY Optic is highly complementary to Bollé Brands in terms of brand proposition, channel mix, and geographic presence. The two brands can live in the same retailer without cannibalizing each other’s sales.
The combination will significantly bolster Bollé Brands’ presence and help it to scale in North America.
Where do you see growth opportunities for Spy?
Peter Smith: Bollé Brands’ increased investment will allow SPY Optic to further scale its award-winning product development, along with enhanced distribution domestically and abroad.
Will Spy stay in Carlsbad? Will back-end operations be integrated with Bollé’s North American offices?
Peter Smith: SPY will stay in Carlsbad, which is the home and soul of the brand. No changes are planned – the organization will remain the same.
Do you envision Spy moving beyond the action sports channel? What do you think about the current state of the action sports channel?
Peter Smith: SPY has been making inroads beyond the core action sports market in the last few years. The long-term brand vision and strategy will be refined with the SPY Optic management team as the year continues.
How can Bollé help Spy grow in other regions?
Peter Smith: Our dedication to innovative eyewear will bring additional resources to areas that are key to SPY Optic’s success as a brand, including product innovation and design, communications and distribution.
This enhanced support will drive considerable global growth in SPY Optic’s home market, North America, and more broadly through Bollé Brands’ international distribution network.
How has A&M Capital Europe helped the Bollé brand since the acquisition?
Peter Smith: Thanks to A&M financial support, Bollé Brands has invested significantly in new systems, including new ERP, B2B and B2C platforms to support its customer-first strategy and to provide excellence in product innovation and creativity.
How was Spy impacted by the tragic death of Seth Hamot? How has Spy dealt with the uncertainty?
Spy CEO Stephen Roseman: Seth’s loss was felt by all of us – he was an active and supportive shareholder and board member. We were fortunate enough to have other board members actively involved in the business, so there was no lapse in the business strategy at the time.
Should current Spy wholesale accounts expect any changes going forward?
Stephen Roseman: No. Business will continue as usual.
What are the current bright spots in Spy’s business? What are the challenges?
Stephen Roseman: The seeds of growth that we put into place have started to take hold, and we’re beginning to enjoy success around the business strategy that we implemented over the last year.
As you know, the global retail landscape is dynamic to say the least. The changes being brought about by this dynamic environment, with technology as a significant factor, is leaving brands from all categories reevaluating their strategy to reach the consumer.
