Rlj Equity Partners, a middle-market private equity firm, and Cave Creek Capital Management have announced a growth recapitalization of Growers House Holdings LLC (“Growers House”), a prominent digitally native, omni-channel retailer specializing in hydroponic equipment and supplies for the specialty agriculture sector. This strategic investment from RLJ Equity Partners and Cave Creek Capital aims to propel Growers House’s expansion and solidify its position as an industry leader.
Growers House has distinguished itself by combining proprietary video content with a vast product selection and expert cultivation advice. This unique approach has made them a go-to resource for both commercial and hobbyist growers seeking comprehensive retail and consulting services. The investment from RLJ Equity Partners and Cave Creek Capital will enable Growers House to accelerate its omni-channel strategy, enhance its content offerings, penetrate new markets, and deliver superior products and services to both B2B and B2C clients.
Rufus Rivers, Managing Partner at RLJ Equity Partners, expressed enthusiasm about the partnership, stating, “Nate has been a pioneer in this dynamic industry. RLJ Equity Partners is committed to leveraging our resources to support the company’s growth trajectory.” This investment underscores RLJ Equity Partners‘ focus on backing high-growth companies with strong leadership.
Building on its existing success, Growers House plans to expand its physical presence by opening a second retail location in Phoenix, Arizona, complementing its already market-leading business in Tucson. Furthermore, the company will extend its reach internationally through its e-commerce platform, growershouse.com. This expansion is a key component of the growth strategy enabled by RLJ Equity Partners‘ investment.
Nate Lipton, Co-Founder & Co-CEO of Growers House, highlighted the strategic alignment with the investment firms. “We are thrilled to partner with RLJ Equity Partners and Cave Creek Capital. Their understanding of our digitally-driven omni-channel model, coupled with their appreciation for our content brands like Canna Cribs, makes them ideal partners as we shape the future of cultivation.”
Growers House also intends to leverage its extensive network of relationships with leading growers and cultivation facilities to drive research and development of innovative products. Lipton emphasized the company’s unique experiential knowledge, stating, “Our hands-on experience working with the world’s best growers provides our team with invaluable insights that have been cultivated over a decade.” This deep industry knowledge is a significant asset that RLJ Equity Partners recognizes and aims to support.
About Growers House
Founded in 2011 by Nate and Paul Lipton, Growers House has rapidly emerged as a leading digitally native, omni-channel hydroponic equipment and supplies retailer. Based in Tucson, Arizona, the company is co-led by Nate Lipton and Angela Kapp as Co-CEOs.
About RLJ Equity Partners
RLJ Equity Partners, established in 2006, is a middle-market private equity firm dedicated to generating long-term capital appreciation. The firm invests in profitable, growing businesses with strong management teams, focusing on traditional buyouts, recapitalizations, and growth capital infusions. RLJ Equity Partners is affiliated with The RLJ Companies, founded by Robert L. Johnson, the founder of Black Entertainment Television (BET), and is based in Bethesda, Maryland. The investment in Growers House exemplifies RLJ Equity Partners‘ strategy of supporting promising companies in expanding markets.
About Cave Creek Capital
Cave Creek Capital Management, located in Phoenix, Arizona, is a lower middle-market private equity firm that partners with management teams to drive long-term value creation. With over 20 years of transaction experience and over 30 investments completed, Cave Creek Capital focuses on asset-light business models in targeted industries.
