Brian B Atlanta
TVWBB Gold Member
I also worked for private equity groups in the past finished up with a big blue company and I will agree with Larry to his point its the bean counters running the show and it has been that way for the last 10 years or longer. But my experience and only mine is the reason you become private is generally your out of the spotlight of being a public company.That all said, this start for Weber looks to be turning into a debacle. While I don't like private equity groups (I know , I worked under one for several years), I still have an affection for Weber and hate to see this happening. These issues throw the selling price out the window for any comparison.
That does a lot of things for you as you don't have to tip your hand anymore in quarterly reports on breaking down product sales by product or what you are working on for the future. Will anyone ever know whether the Summit Charcoal was a disaster regarding the amount they sold or the Red LE which I think we all know was a disaster and if you have a brand to protect you certainly don't want that information coming out.
IMO Weber sold out at the right time they probably did not have the capital or and maybe the management expertise to take it any further and the cheap grills were moving in. However Jon and many smarter people on here know sooner or later private equity has to get out and make money did they push to get this thing out the door against Weber technical people who were against that because the product was not ready? Pretty hard to miss another grilling season with no offering in the pellet grill market for another year.
That group has been here for 10 years, how profitable is Weber nobody knows always the goal for private equity is to take it back out and go public. Not seen any rumors of that at all but that is the goal but in this market your going to have to show your sales and profits to do that.
Sorry for rambling.