The deal is estimated to be worth more than $500
million.
Intelligrated(www.intelligrated.com),
a leading North American-based provider of automated material handling
solutions, services and products, announces that it has entered an agreement to
be acquired by a holding company owned by the Permira funds in a transaction at
a valuation in excess of $500 million. Intelligrated’s management, led by
founders Chris Cole and Jim McCarthy, will maintain a significant stake in the
company as part of the transaction and will continue to lead the company.
Intelligrated designs, manufactures and installs complete material handling
automation solutions for the warehousing, distribution, consumer product
manufacturing, postal and parcel markets. Solutions include conveyor systems,
sortation systems, palletizers and robotics, order fulfillment systems,
warehouse control software and advanced machine controls. Intelligrated will
remain headquartered in Mason, OH, a suburb of Cincinnati, and has operations
throughout the United States and in Canada, Mexico and Brazil.
The Permira funds’ investment will support the company’s growth opportunities,
including further penetration of its customer base in North America, emerging
markets expansion in partnership with its global customers, increased product
offerings and global capabilities through investment and selective M&A, and
an enhanced focus on aftermarket services.
“Intelligrated is well-positioned to capitalize on the growing demands on
companies to increase supply chain efficiency and better serve the evolving
needs of their customers,” says Richard Carey, partner and co-head of the
Global Industrials Group at Permira. “Already a market leader, the
company is continuing to grow, as evidenced by the ongoing expansion of the
facilities in Mason, which will enhance Intelligrated's ability to provide
advanced solutions for its blue-chip customers.”
John Coyle, partner and head of North America at Permira comments, “This investment
fits squarely into the Permira funds’ strategy. It involves a team
working across three of our core investment sectors – industrial services,
consumer and technology – and is wholly consistent with our approach in North
America, which is to find leading companies in the U.S. who can utilize our
unique ability to leverage our deep ties in Europe, Asia and Latin America to
realize their international potential. We look forward to backing
Intelligrated’s highly successful management team as the company enters the
next stage of its growth plans.”
“This is a very exciting new chapter for our company, and we are thrilled that
a world-class investment firm such as Permira has recognized the growth potential
in our business,” says Chris Cole, CEO of Intelligrated. “This is a
strong endorsement for Intelligrated and our highly talented workforce, and we
look forward to taking advantage of the unique global perspective and industry
insight that the Permira funds will bring. We are pleased that they recognize
our ability and commitment to providing mission-critical, high-speed automated
material handling systems, software and service, and believe they are the ideal
partners to help us to continue on our strong growth trajectory.”
The transaction, which is subject to regulatory approvals and customary closing
conditions, is expected to close in the third quarter of 2012.
Permira funds to acquire Intelligrated
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