Revelstoke Capital Partners has acquired Transport Investments, Inc. (TII), a transportation and logistics company. Yukon Partners made a subordinated debt and an equity co-investment in the transaction.
Transport Investments is an asset-light transportation and logistics company focused on providing flatbed, drop-deck, specialized and heavy-haul trucking and brokerage services in the US, Canada, and Mexico. The company transports or arranges transport of heavy and over-dimensional freight for companies operating in the energy, infrastructure, manufacturing and industrial sectors. The company is ranked by industry publications in the top 12 flatbed and heavy specialized trucking companies in the US and handles nearly 100,000 loads annually through its fleet of active owner-operator trucks, drive-away operators, and approved third party carriers. TII was founded in 1986 and is headquartered in Pittsburgh (www.thetii.com).
The management team of TII will continue to own a meaningful interest in the company and manage and operate the business on a day-to-day basis.
“With its significant owner operator and agent base, we believe that the TTII platform represents a compelling opportunity to invest in an attractive niche in the transportation and logistics industry and are confident in the management team’s ability to further solidify its position as a leader in the market,” said Simon Bachleda, Managing Partner of Revelstoke. “TII is well-positioned to accelerate its organic growth as well as pursue acquisitions that will further expand its trucking, brokerage and third party logistics service offerings and geographic coverage.”
Revelstoke intends to provide TII with strategic guidance and additional capital to in order to accelerate its organic growth and the firm will also pursue add-on acquisitions. “There is a great deal of consolidation going on in the trucking industry. With Revelstoke’s support, TII will continue to be a strong platform for growth through acquiring other trucking and logistics companies while we continue to make investments that will further strengthen our capabilities and the value-added services we bring to our agents and customers,” said Doug McAdams, CEO of TII.
Revelstoke invests from $10 million to $250 million in companies that have at least $5 million of EBITDA. Sectors of interest include healthcare services and products, including life sciences; transportation and logistics; specialty distribution; energy and energy services; building products; business and outsourced services; marketing services; financial services, including insurance; industrial services; and medical technology. The firm was founded by Managing Partners, Mark King, Dale Meyer, and Simon Bachleda and is headquartered in Denver (www.revelstokecp.com).
“We are once again excited to be partnering with the Revelstoke team,” said Michael Hall, Managing Partner of Yukon. In July 2014, Yukon provided subordinated debt and an equity co-investment to back Revelstoke’s acquisition of Denver-based Schryver Medical. “We are confident that Revelstoke’s logistics platform experience is a perfect complement to TII’s leading industry position and the senior management team’s expertise. These attributes will further TII’s impressive track record of growth,” added Mr. Hall.
Yukon Partners makes subordinated debt and equity investments of $10 million to $40 million in middle market, private equity sponsored business transactions. Yukon invests in buyouts, growth and platform strategies, recapitalizations, mergers & acquisitions, public to private buyouts, and refinancings. The firm is based in Minneapolis (www.yukonpartners.com).
SunTrust Bank served as administrative agent on the transaction’s senior credit facility with East West Bank also participating. SunTrust Robinson Humphrey acted as sole lead arranger and bookrunner on the transaction.
2014 PEPD • Private Equity’s Leading News Magazine • 9-19-14
