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Lone Star Baby & Kids purchases USA Baby

Frisco, Texas – Retailer Lone Star Baby & Kids has acquired the intellectual property and certain assets of USA Baby, Inc. through an asset purchase agreement with Commerce Capital L.P.

Nearly a year ago, USA Baby, Inc. was forced into an involuntary bankruptcy. In July, CCLP – the primary secured creditor – acquired the intellectual property and assets of USA Baby through a foreclosure sale.

Details of the Lone Star Baby & Kids acquisition were not immediately available.

“We are extremely pleased with the outcome today and look forward to growing both the USA Baby and Lone Star Baby & Kids Brand nationwide through franchising,” Michael Schaul, president of Lone Star Baby & Kids. “There are approximately 35 stores nationwide currently operating within the USA Baby Franchise System. We plan to offer these stores the opportunity to join our franchise system and return the USA Baby Brand back to the predominant juvenile specialty store chain it once was.”

Beth Jenkins, a 20-year franchisee of USA Baby in Overland Park, Kansas said, “It has been a long tough road these last few years, but I am very optimistic with the systems and programs that Schaul’s franchise has in place that will immediately improve my overall business.”

Schaul, who left the USA Baby Franchise System in 2007, was its largest franchisee at the time. He currently owns three Lone Star Baby & Kids stores operating in the Dallas/Fort Worth Metroplex.

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