M&A Deal Summary

Freeman Spogli Acquires Integrated Supply Network

On June 22, 2016, private equity firm Freeman Spogli acquired distribution company Integrated Supply Network from Audax Private Equity and PNC Mezzanine Capital

Acquisition Highlights
  • This is Freeman Spogli’s 3rd transaction in the Distribution sector.
  • This is Freeman Spogli’s 31st transaction in the United States.
  • This is Freeman Spogli’s 2nd transaction in Florida.

M&A Deal Summary

Date 2016-06-22
Target Integrated Supply Network
Sector Distribution
Buyer(s) Freeman Spogli
Sellers(s) Audax Private Equity
PNC Mezzanine Capital
Deal Type Secondary Buyout
Advisor(s) BlackArch
BB&T Capital Markets (Financial)
Kirkland & Ellis (Legal)

Target

Integrated Supply Network

Lakeland, Florida, United States
Integrated Supply Network is a supplier and distributor that sells automotive tools, equipment, and related supplies through an extensive distribution network to automotive mechanics and technicians. ISN offers manufacturers and customers an international network of warehouses and a broad array of products, backed by customer service leadership, innovative use of technology, and multi-step pull-through marketing capabilities. ISN was founded in 1997 and is based in Lakeland, Florida.

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Buyer(S) 1

Buyer

Freeman Spogli

Los Angeles, California, United States

Category Private Equity Firm
Founded 1983
PE ASSETS 7.0B USD
Size Mega
Type Sector Focused
DESCRIPTION

Freeman Spogli & Co. is a private equity firm focused on acquiring middle-market retail, direct marketing, and distribution companies. The Firm will consider opportunities throughout North America and prefers partnering with management when pursuing acquisitions. Freeman Spogli looks to invest $75 to $300 million in transactions valued up to $750 million. Freeman Spogli was formed in 1983 and is based in Los Angeles, California with an additional office in New York City.


DEAL STATS #
Overall 31 of 48
Sector (Distribution) 3 of 4
Type (Secondary Buyout) 12 of 18
State (Florida) 2 of 2
Country (United States) 31 of 48
Year (2016) 2 of 4
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2016-06-13 Asurion

Nashville, Tennessee, United States

Asurion provides insurance tech support for smartphones, tablets, consumer electronics, appliances, satellite receivers and jewelry. Asurion was founded in 1994 and is based in Nashville, Tennessee.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2016-06-29 City Barbeque

Dublin, Ohio, United States

City Barbeque is a fast-casual restaurant company focused on authentic, "smoker-to-table" barbeque. City Barbeque additionally offering catering services for both corporate and private events. City Barbeque was founded in 1999 and is headquartered in Dublin, Ohio.

Buy -

Seller(S) 2

SELLER

Audax Private Equity

Boston, Massachusetts, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1999
PE ASSETS 19.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Audax Private Equity is a private equity firm focused on acquiring control positions in a variety of mid to large North American headquartered companies. The Firm segments its activities into lower middle-market and larger scale investing. Within its larger group, Audax targets profitable businesses valued up to $800 million and within its lower middle-market group, the Firm seeks companies valued up to $125 million. Sectors of interest include business services, consumer products/services, financial services, healthcare services, industrial services, software, and technology. Audax has a special interest in businesses that can benefit from a buy and build investment strategy for growth. Audax Private Equity was formed in 1999 and is based in Boston, Massachusetts.


DEAL STATS #
Overall 48 of 102
Sector (Distribution) 7 of 9
Type (Secondary Buyout) 22 of 55
State (Florida) 4 of 7
Country (United States) 46 of 97
Year (2016) 5 of 8
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2016-05-18 Advanced Dermatology and Cosmetic Surgery

Maitland, Florida, United States

Advanced Dermatology and Cosmetic Surgery is a dermatology-focused physician practice management company, with clinics around the United States which provide clinical, cosmetic, and pathology services. Advanced Dermatology and Cosmetic Surgery was founded in 1989 and is based in Maitland, Florida.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2016-07-11 Winchester Interconnect

Wallingford, Connecticut, United States

Winchester Interconnect is a provider of custom engineered interconnect solutions for diverse, growing end markets requiring high reliability and application specific expertise. Winchester designs and manufactures RF coaxial, board-to-board and power interconnects, as well as cable assemblies, for the telecommunications, computer, and test & measurement industries.

Sell -
SELLER

PNC Mezzanine Capital

Pittsburgh, Pennsylvania, United States

Investor Investor Investor Investor Investor


Category Mezzanine Finance Firm
Founded 1989
PE ASSETS 1.5B USD
Size Large
Type Sector Agnostic
DESCRIPTION

PNC Mezzanine Capital is the subordinated debt investing arm of PNC Bank. PNC Mezzanine looks to provide $10 to $50 million of junior capital to middle-market companies in a variety of industries. Prospective companies generally have revenues of $20 million and EBITDA greater than $4 million. Broad sectors of interest include niche manufacturing, value-added distribution, and business or consumer services. PNC will not invest in early-stage or technology-driven businesses; real estate, commodity-based or capital-intensive companies; businesses with high customer or vendor concentration; or declining businesses. PNC Mezzanine was formed in 1989 and is based in Pittsburgh, Pennsylvania.


DEAL STATS #
Overall 27 of 49
Sector (Distribution) 2 of 4
Type (Secondary Buyout) 10 of 19
State (Florida) 1 of 2
Country (United States) 26 of 47
Year (2016) 2 of 3
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2016-01-01 Pet Partners

Wilton, New York, United States

Pet Partners LLC, headquartered in Wilton, NY, is an operator of 21 full-service veterinary hospitals. Services provided by Pet Partners' hospitals include health and wellness exams, vaccinations and surgery of various types, as well as some advanced and emergency services, focused on small companion animals. The Company currently operates 21 hospitals in eleven states east of Rocky Mountains and is actively looking to acquire additional hospitals.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2016-06-30 Cape Electrical Supply

Cape Girardeau, Missouri, United States

Cape Electrical Supply is a distributor of electrical and communications products to commercial, industrial, residential, institutional, and utility customers.

Sell -