J.W. Childs Associates LP has agreed to buy a majority stake in KeyImpact Sales and Systems Inc, a food service sales and marketing agency. The seller is EOS Partners. No financial terms were disclosed for the transaction that is expected to be completed in the fourth quarter of this year. Lincoln International provided financial advice to KeyImpact on the deal.
BOSTON–(BUSINESS WIRE)–J.W. Childs Associates, L.P., a private equity firm specializing in leveraged buyouts and recapitalizations of middle-market growth companies, today announced the signing of a definitive agreement to acquire a majority interest in KeyImpact Sales and Systems, Inc., a leading sales and marketing agency to the foodservice industry, from Eos Partners.
Financial terms of the investment were not disclosed. This acquisition represents the fourth investment by J.W. Childs since the formation of J.W. Childs Equity Partners IV, L.P. in April 2014.
KeyImpact has been exclusively focused on the foodservice industry since its founding in 2000. KeyImpact represents food manufacturers as well as packaging and supply companies and offers a cost-effective and efficient means of uniting the complex and fragmented foodservice industry. In addition to sales support, it provides marketing and ancillary services to manufacturers, distributors and operators across all segments of the foodservice industry. The company has successfully integrated 45 acquisitions since 2005, all in the foodservice and packaging and supply industries.
“We are excited to partner with J.W. Childs as we pursue our next phase of growth and expand the scope of services we offer to our partners,” said Dan Cassidy, Chief Executive Officer of KeyImpact. “We are excited to continue exceeding expectations by providing innovative sales and marketing solutions for our partners. I would also like to thank Eos for their support and guidance during the past four years.”
“KeyImpact offers a compelling value proposition to its clients through its national platform, deep operator and distributor relationships, and industry expertise. We believe the company is ideally positioned to grow as the foodservice market continues to evolve,” said David Fiorentino, a Partner at J.W. Childs. “We look forward to working closely with the management team as they continue their growth trajectory.”
“KeyImpact has experienced tremendous growth since our investment in 2012 and has grown from 600 employees in 32 states to nearly 800 employees in 49 states,” said Brendan Moore, Managing Director of Eos. “We have enjoyed working with the company’s management team over the past several years and believe the company is well-positioned for continued success.”
The transaction is expected to close in the fourth quarter of 2015. McDermott Will & Emery LLP provided legal counsel to J.W. Childs. Selzer Gurvitch and Winston & Strawn provided legal counsel to KeyImpact. Lincoln International provided financial advisory services to KeyImpact on the transaction.
About KeyImpact Sales and Systems
Formed in 2000, through the merger of Key Brokerage in New Jersey and Impact Sales in Maryland, KeyImpact has grown to become the largest independent foodservice sales and marketing agency in the United States. KeyImpact represents manufacturers of food, as well as packaging and supplies, and provides sales and marketing services to distributors and operators across all segments of the foodservice trade channel. KeyImpact currently employs approximately 800 associates in 49 states with industry expertise in sales, marketing, culinary, K-12, military, college & university, contract feeding, retail, deli, national & regional commercial chains, recreation and distribution, as well as extensive product & category expertise. For more information, please visit www.kisales.com.
About J.W. Childs Associates, L.P.
J.W. Childs is a Boston-based private equity firm focused on investing in middle-market growth companies. Since inception in 1995, J.W. Childs has invested in excess of $3 billion of equity capital in more than 40 best-in-class companies across the consumer, specialty retail and healthcare industries. The firm’s success has been built on its industry focus and the extensive operating expertise of its partners. For more information, please visit www.jwchilds.com.
Formed in 1994, Eos is a private investment firm with approximately $1 billion of private equity capital and commitments to invest alongside outstanding managers in growing companies. Eos focuses on working closely with management teams, and committing its understanding of strategic alternatives and the financial markets to help grow these businesses into larger scale, leading enterprises. For more information, please visit www.eospartners.com.