March 19, 2026
Chicago Atlantic Agents a Senior Secured Facility to Support the Acquisition of Lionel Holdings, LLC by Round 2 Holdings, LLC
CHICAGO–(BUSINESS WIRE)– Chicago Atlantic announced that it acted as administrative agent in support of the acquisition of Lionel Holdings, LLC (“Lionel”), a premier designer and manufacturer of model trains and hobby products by Praesidian Capital and its portfolio company, Round 2 Holdings, LLC (“Round 2”), a leading designer, developer, and marketer of model kits, die-cast collectibles, and hobby products. Following the transaction, the combined organization will operate under the Lionel Brands Group name.
The acquisition brings together two highly complementary platforms within the hobby and collectibles industry, creating a diversified portfolio of iconic brands with strong customer loyalty and multi-generational appeal. The combined company is expected to benefit from enhanced scale, expanded distribution channels, and cross-selling opportunities across product categories, including model railroading, model kits, die-cast collectibles, and related accessories.
“Lionel and Round 2 represent two of the most respected names in the hobby industry, each with a long history of quality, craftsmanship, and brand strength,” said David Enright, Partner and Head of Direct Lending at Chicago Atlantic. “This combination creates a scaled platform with meaningful opportunities for operational synergies and growth. We are proud to provide flexible capital to support the merger and partner with the management teams as they execute on their shared vision.”
Founded in 1900, Lionel has been synonymous with model railroading for generations, offering a broad portfolio of licensed and proprietary products serving hobbyists and collectors. Round 2 owns and manages a diverse set of well-recognized brands across model kits and collectibles, distributing through hobby shops, specialty retailers, and eCommerce channels.
“Praesidian is pleased to partner with Chicago Atlantic on the acquisition of Lionel,” commented Jason Drattell, Founder and Managing Partner of Praesidian Capital. “Their team’s execution was instrumental in bringing this transaction to a successful close, and we look forward to working together to support Lionel’s next phase of growth.”
The combined company intends to capitalize on continued consumer demand for nostalgic, collectible, and enthusiast-driven products, supported by strong brand equity and loyal customer bases, and a growing direct-to-consumer presence.
About Chicago Atlantic
Chicago Atlantic is a private market lender focused on industries and companies where demand for capital exceeds traditional supply. The firm focuses on loans to esoteric industries, specialty asset-based loans, liquidity solutions and growth & technology finance. Chicago Atlantic has closed over $3.3 billion in credit facilities since inception. Chicago Atlantic’s team of over 100 professionals has offices in Chicago, Miami, New York and London. For more information visit chicagoatlantic.com.