Seawall Capital sees the growth of outdoor sports in the last few years as a growing trend — and is upping its bet on the industry.

The private equity firm announced that its Kent Outdoors, which is rebranding from Kent Watersports, will acquire Kona Bicycles and watercraft seller BOTE.

The two companies have revenues approaching $500 million, a spokesperson told Front Office Sports.

  • Kent Outdoors now has 17 brands under its umbrella, most of which relate to watersports.
  • Seawall acquired Kent Watersports in a transaction that closed on Dec. 31, 2020.

Seawall founder Matt Eby has shown long-term interest in the outdoor industry. Tengram Capital Partners, a private equity firm he co-founded, owns El Cap, parent company to Planet Granite, Earth Treks, and Movement Climbing + Fitness, which it acquired in November 2019.

Eby sold outdoor outfitter Field & Stream to Dick’s Sporting Goods in 2012, after investing in it as chief investment officer of JAWS Estates Capital.

Two Active Industries

Both boating and cycling are expected to see continued growth in the coming years.

The global bicycle market is projected to grow from $54.7 billion in 2020 to $78 billion by 2026. The U.S. market was estimated at $9.5 billion in 2021.

The global recreational boating industry was valued at $26 billion in 2020 and is expected to grow around 5% per year on average to $35 billion by 2026. North America is the fastest-growing market.