Audax to acquire controlling stake in 48forty

Audax Private Equity has agreed to acquire a controlling stake in 48forty from Grey Mountain Partners.

Audax Private Equity has agreed to acquire a controlling stake in 48forty from Grey Mountain Partners. No financial terms were disclosed. 48forty is a provider of end-to-end pallet management services across the U.S. and Canada.

PRESS RELEASE

BOSTON–(BUSINESS WIRE)–Audax Private Equity (“Audax”) announced today that it has acquired a controlling interest in 48forty Solutions (“48forty” or “the Company”) from Grey Mountain Partners. 48forty is a leading national provider of end-to-end pallet management services across the U.S. and Canada.

Norm Plotkin, CEO of 48forty, said, “We are thrilled to be partnering with Audax as we embark on an exciting new chapter in our history. This investment will help 48forty continue to consistently deliver high-quality pallets to both national and local accounts, expand our product and service offerings, and explore strategic acquisitions to further accelerate our growth.”

48forty Solutions is one of the largest pallet management services companies in North America, with a national network of over 225 facilities, including 44 company-owned and operated plants and more than 180 affiliates. 48forty provides end-to-end pallet solutions, from supply to retrieval, on-site services, reverse logistics, and retail services. Thousands of customers from various industries rely on 48forty to consistently deliver quality pallets, which are a mission-critical component of their supply chain.

Young Lee, Managing Director, Audax Private Equity, said, “48forty is a best-in-class national provider of recycled pallets that helps customers support the critical and changing demands of their supply chain. We are excited to support Norm and the entire 48forty team to continue growing the business and serving the needs of our customers across North America.”

Jay Mitchell, Managing Director, Audax Private Equity, said, “We look forward to partnering with 48forty leadership to support continued growth, both organically as well as through strategic acquisitions. 48forty has developed the platform, infrastructure, systems, and processes to execute on acquisitions that further improve access to supply, expand product and service offerings, and extend their national reach.”

Terms of the transaction were not disclosed. Piper Sandler & Co. acted as financial advisor to 48forty and Grey Mountain Partners, and BlackArch Partners acted as buyside advisor to Audax. Ropes & Gray LLP served as counsel to Audax.

About 48forty Solutions
48forty Solutions is one of the largest pallet management services companies in North America, with a national network of over 225 facilities, including 44 company-owned and operated plants and more than 180 affiliates. 48forty provides end-to-end pallet solutions, from supply to retrieval, on-site services, reverse logistics, and retail services. 48forty goes to market as Paramount Pallet in Canada. To learn more, visit www.48forty.com.

About Audax Private Equity
Audax Group is a leading alternative investment manager with offices in Boston, New York, and San Francisco. Since its founding in 1999, the firm has raised over $26 billion in capital across its Private Equity and Private Debt businesses. Audax Private Equity has invested over $6 billion in more than 130 platforms and over 900 add-on companies, and is currently investing out of its $3.5 billion, sixth private equity fund. Through its disciplined Buy & Build approach, Audax seeks to help platform companies execute add-on acquisitions that fuel revenue growth, optimize operations, and significantly increase equity value. With more than 250 employees and over 100 investment professionals, the firm is a leading capital partner for North American middle market companies. For more information, visit the Audax Group website www.audaxgroup.com.