Charlesbank Capital Partners has acquired United Road Services, a vehicle transportation company and a portfolio company of The Gores Group.
United Road is a provider of vehicle transport and logistics to more than 10,000 customers including OEM suppliers, rental agencies, auctions, web-based logistics firms and individuals – transporting nearly 2 million new, remarketed and specialty vehicles each year. The company has 1,000 employees and more than 1,200 vehicle carriers and is headquartered in Romulus, MI (www.unitedroad.com).
Kathleen McCann, president and CEO of United Road, will continue to lead the company in the same roles. Ms. McCann joined United Road as president in January 2011.
“We are enthusiastic about our future with this innovative and successful team,” said Jon Biotti, a Charlesbank Managing Director. “The industry is experiencing strong tailwinds as auto sales in all sectors continue to recover, and United Road’s chosen strategies have positioned it well to capture that growth.”
Charlesbank Capital Partners invests in management-led buyouts and growth capital financings, typically investing from $50 million to $150 million per transaction in companies with enterprise values of $100 million to $750 million. The firm has $2 billion of capital under management and has offices in Boston and New York (www.charlesbank.com).
“Charlesbank is a great fit with United Road’s vision of being the supplier of choice for vehicle logistics in North America,” said Ms. McCann. “We were in great hands with Gores, and in partnering with Charlesbank, we will be able to continue our market expansion and grow our service offerings. United Road’s deep team of professionals, from our drivers to our technology wizards, is poised to begin a new chapter in this exciting journey.”
The Gores Group acquired United Road in 2007, providing the capital and operational resources necessary to grow the company to nearly $300 million in revenues during one of the greatest automotive downturns in history. “United Road delivered on the investment thesis we developed five years ago. The company is the clear leader in its space and I know that it will continue to succeed under Charlesbank’s ownership and direction,” said Jordan Katz, a Gores Managing Director.
The Gores Group makes control investments in non-core, underperforming or undervalued businesses in the United States and Europe. The firm maintains an in-house team of over 60 M&A and operations professionals in the US and Europe. The Gores Group was founded in 1987 and has offices in Los Angeles, CA; Boulder, CO and London, UK (www.gores.com).
United Road and The Gores Group were represented by Weil, Gotshal & Manges in this transaction and Houlihan Lokey served as their financial advisor. Charlesbank was represented by Goodwin Procter.
© 2012 PEPD • Private Equity’s Leading News Magazine • 12-17-12
