M&A Deal Summary

H.I.G. Private Equity, MSouth Equity Partners and Prospect Capital Management Acquire Capstone Logistics

On September 16, 2011, private equity firm H.I.G. Private Equity, private equity firm MSouth Equity Partners and business development company Prospect Capital Management acquired transportation company Capstone Logistics

Acquisition Highlights
  • This is H.I.G. Private Equity’s 5th, MSouth Equity Partners’ 1st and Prospect Capital Management’s 2nd transaction in the Transportation sector.
  • This is H.I.G. Private Equity’s 93rd, MSouth Equity Partners’ 14th and Prospect Capital Management’s 65th transaction in the United States.
  • This is H.I.G. Private Equity’s 9th, MSouth Equity Partners’ 6th and Prospect Capital Management’s 2nd transaction in Georgia.
Investment Fate
  • Capstone Logistics was sold to a consortium of financial buyers in 2014.
  • Capstone Logistics was sold to a consortium of financial buyers in 2020.

M&A Deal Summary

Date 2011-09-16
Target Capstone Logistics
Sector Transportation
Buyer(s) H.I.G. Private Equity
MSouth Equity Partners
Prospect Capital Management
Deal Type Consolidation

Target

Capstone Logistics

Peachtree Corners, Georgia, United States
Capstone Logistics is a provider of outsourced supply chain solutions at nationwide distribution centers catering to the grocery, foodservice, retail, automotive, and 3PL verticals. Capstone was founded in 2011 and is based in Peachtree Corners, Georgia.

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Buyer(S) 3

Buyer

H.I.G. Private Equity

Miami, Florida, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1993
PE ASSETS 65.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

HIG Private Equity is the private equity arm of HIG Capital LLC. The firm focuses on management buyouts, growth equity investments, and recapitalizations of middle market companies with an enterprise value of $50 - $1000 million. The Firm also will consider add-on acquisitions, industry consolidations, going-privates, and corporate divestitures. Sectors of interest include aerospace, building materials, business services, consumer products, distribution, healthcare, infrastructure, contracting, manufacturing, media, oil & gas services, IT, and transportation. HIG was formed in 1993 and has offices in Miami, Atlanta, Boston, and San Francisco. HIG's European affiliate is HIG Europe with offices in London, Hamburg, and Paris.


DEAL STATS #
Overall 117 of 369
Sector (Transportation) 5 of 18
Type (Consolidation) 3 of 6
State (Georgia) 9 of 14
Country (United States) 93 of 245
Year (2011) 22 of 22
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2011-09-16 Progressive Logistics Services

Atlanta, Georgia, United States

Progressive Logistics Services is the national leader in outsourced, productivity-driven workforce solutions designed to enhance supply chain efficiency at client distribution centers. With presence at 100+ sites in nearly every state, PLS provides a broad array of value-added services to some of the largest corporate names in the grocery, foodservice, specialty automotive and retail sectors. Through its innovative, data-driven approach to workforce management and relentless focus on training and safety, PLS is recognized in the industry for its operational excellence and the cost-effectiveness of its client solutions.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2011-10-31 Telecorps Holdings

Burbank, California, United States

Telecorps Holdings is a provider of technology and services to the entertainment industry.

Sell -
Buyer

MSouth Equity Partners

Atlanta, Georgia, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1984
PE ASSETS 2.2B USD
Size Large
Type Sector Agnostic
DESCRIPTION

MSouth Equity Partners is a private equity firm focused on mid-sized company investments and acquisitions valued between $25 and $250 million. The Firm prefers opportunities in Southern US and looks to commit $25 to $100 million per transaction. Sectors of interest include distribution, business services, media, telecom, and specialty manufacturing. MSouth is the successor to private equity firm, Cravey, Green & Wahlen, Inc. which was founded in 1984. MSouth Equity Partners is based in Atlanta, Georgia.


DEAL STATS #
Overall 14 of 42
Sector (Transportation) 1 of 1
Type (Consolidation) 1 of 1
State (Georgia) 6 of 18
Country (United States) 14 of 42
Year (2011) 4 of 5
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2011-09-09 LMS Intellibound

Norcross, Georgia, United States

LMS Intellibound, Inc., is a niche business services company that provides value-added warehousing services primarily to the grocery, foodservice, and pharmaceutical industries. LMS currently serves more than 70 distribution centers across the U.S. and provides critical service solutions that lower its clients' overall costs while also improving operational efficiency.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2011-12-16 ENA

Nashville, Tennessee, United States

ENA is an education and telecommunications industry as a managed network and communication services provider ENA delivers future-ready connectivity, communication, cloud, and security solutions to education, library, healthcare, and government organizations nationwide. ENA was founded in 1996 and is based in Nashville, Tennessee.

Buy -
Buyer

Prospect Capital Management

New York, New York, United States

Investor Investor Investor Investor Investor


Category Business Development Company
Founded 1988
Size Middle-Market
Type Sector Agnostic
DESCRIPTION

Prospect Capital Corporation is a publicly traded mezzanine debt and private equity firm that primarily provides non-control financing to support growth, recapitalizations, acquisitions, and development. Prospect will selectively consider control acquisitions by providing multiple levels of the capital structure. Prospect was initially formed in 1988 and went public 2004. The Firm is based in New York City.


DEAL STATS #
Overall 66 of 86
Sector (Transportation) 2 of 3
Type (Consolidation) 1 of 1
State (Georgia) 2 of 3
Country (United States) 65 of 83
Year (2011) 11 of 15
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2011-09-07 Resco Products

Pittsburgh, Pennsylvania, United States

Resco Products is a designer and manufacturer of refractory materials. Refractories are consumable materials used as protective linings for high-temperature furnaces, containers carrying molten metals, and a range of other harsh environment industrial situations. Resco Products was founded in 1946 and is based in Pittsburgh, Pennsylvania.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2011-09-30 Anchor Hocking

Lancaster, Ohio, United States

Anchor Hocking is a designer, manufacturer, and marketer of glass products such as beverageware and serveware, glass bakeware and storage ware, glass barware, glass candle containers, glass used for lighting and other industrial purposes and other specialty glass items. Anchor distributes its products through mass-market and specialty retailers as well as foodservice distributors who ultimately sell these products to restaurants, bars and other commercial food servers. Anchor Hocking was founded in 1905 and is based in Lancaster, Ohio.

Buy -