Hobo Bags, the handbag and accessories brand playing in the affordable luxury space, attracted some private equity money to help speed its growth.
Rick Perkal’s Firelight Capital Partners, which focuses on helping companies accelerate their growth, led an investment round in Hobo. The Annapolis, Md.-based company also received funding from Satori Capital, which specializes investments based on the principles of conscious capitalism.
Terms of the funding round were not disclosed.
Hobo sells its shoulder bags, totes, wallets and other leather goods online and through department stores and boutique retailers around the world. It was founded in 1991 by David Brewer, Koren Ray and her mother, Toni Ray. The husband-and-wife team of Brewer and Koren Ray took over leadership of the brand in 2006 and serve as chief executive officer and chief visionary officer, respectively.
Perkal, who leads Firelight as ceo and managing partner, said: “Hobo’s authentic, high-quality leather goods perfectly embody the company’s design philosophy: beauty, soul and purpose. Hobo’s loyal customers already know and love its beautiful and long-lasting products. We believe a broader market and demographic will soon discover their new favorite handbag or wallet at Hobo.”
Firelight is looking to bring some new talent into the brand to accelerate its expansion.
Ray said Firelight’s “experience and knowledge in marketing and operations is critical as we look to increase market share and grow brand awareness.”
The company plans to enhance its systems and develop “an integrated experience for our retail network and consumers.”
Perkal is a veteran of Irving Place Capital, where he had been senior managing director.
At Firelight, he has been on the hunt for deals in the lower middle market across apparel and accessories, beauty and personal care, footwear, health and wellness, and food and beverage.
Firelight has something of a novel structure and is a partnership between private equity investors and Yard, a New York-based consumer-focused brand and marketing strategy agency.