Transom Capital Acquires Toy Company

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Transom Capital Group on Wednesday said it had acquired Westlake Village scientific toy maker Uncle Milton Industries Inc.

The Los Angeles private equity firm said deal will allow Uncle Milton to expand its position as the “science and nature” category leader and continue to develop award-winning toys. Since 1956, Uncle Milton’s flagship product has been Ant Farm, which houses a live colony of ants. It also sells other science-oriented toys at retailers such as Toys R Us and Target.

“Uncle Milton represents a cornerstone acquisition for our portfolio and offers a platform from which we hope to expand our presence in the industry,” said Ken Firtel, managing director of Transom Capital. “We believe that Transom Capital can add a level of operational sophistication that will improve its performance both from a top and bottom line perspective.”

The toy company was founded in 1946. “Toys have been a large part of my life, so it was important to me, personally, that the company find a partner who demonstrated a real commitment to the Uncle Milton legacy,” said Steve Levine, an owner of the company and son of founder, Milton Levine. “Transom Capital was simply the right fit. They exhibited the same passion for the industry and quickly understood the key issues and dynamics that underlie the company’s success.”

Terms of the deal were not disclosed. Sherwood Partners was an adviser to Uncle Milton during the deal.

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