Leading Ridge Capital Partners has acquired Damage Recovery Systems Inc., a provider of returned goods management services and supply chain analysis for food and consumer packaged goods manufacturers. No financial terms were disclosed.
SC&H Capital, an investment banking and advisory firm to middle market businesses, served as the exclusive financial advisor to Leading Ridge Capital Partners in the acquisition of Damage Recovery Systems, Inc (DRS). The financial terms of the acquisition were not disclosed.
DRS is a leading provider of returned goods management services and supply chain analysis for food and consumer packaged goods (CPG) product manufacturers. DRS offers its customers a national solution, with facilities in Pennsylvania, Tennessee and Nevada. The company’s core services focus on the prevention, control, and monetization of returned goods.
“In an increasingly competitive environment, manufacturers have to look for innovative ways to reduce costs and maximize value from returned goods – DRS’ services do just that,” said Zach Coopersmith, a Partner of Leading Ridge. “While the current focus of the company is predominately on handling grocery and CPG products, our team sees great opportunity in using DRS as a platform to provide a complete reverse supply chain solution to all manufacturers.”
“When our team here at DRS looked at the future of our company, we knew the opportunities for expanding and improving our services were tremendous,” stated DRS President Ken Miller. “Leading Ridge will help us achieve this potential. I am confident that this partnership will greatly enhance our value proposition to our customers.”
Leading Ridge Capital Partners is a private equity firm specializing in acquisitions, recapitalizations, and investments in value-added distribution, logistics, and light manufacturing companies. Leading Ridge is comprised of a successful team of former executives with the operational focus and the leadership experience needed to support rapid yet controlled growth of its portfolio companies.
“We are very excited to have completed this acquisition,” said Robert Mayn, a Partner of Leading Ridge. “DRS is an excellent company with a unique business model. A quality base of category-leading manufacturer customers, dedication to superior levels of customer service, a reputation for integrity within its industry, and a best-in-class management team are all things that attracted us to DRS. As a reverse logistics provider, this company presents our team with an opportunity to leverage our operational competencies in order to support even greater levels of customer service to both current and future customers.”
Leading Ridge’s previous portfolio companies include Marjack Company, Inc., a distributor of candy, snack items, and specialty products nationwide to the entertainment and big box retail trades and Great Western, LLC, a manufacturer and master distributor of food and non-food products for the entertainment industry.
SC&H Capital acted as the exclusive financial advisor to the principals of Leading Ridge in the divestitures of both Marjack and Great Western, as well as the acquisition of DRS. “We are delighted to continue our relationship with SC&H Capital,” said Warren Coopersmith, Managing Partner of Leading Ridge. “The SC&H team has provided steadfast advice, professional guidance and an unparalleled level of service as we have methodically executed our strategic objectives over the past three years.”
About SC&H Capital
SC&H Capital, an affiliate of SC&H Group, LLC, is an investment banking advisory firm to middle market businesses. SC&H Capital supports their investment banking activity with a full suite of strategic and financial resources to assist companies in the development and execution of strategic plans and initiatives. In conjunction with SC&H Group, LLC, SC&H Capital tailors their advisory services to ensure that their clients receive pertinent and valuable advice in every stage of the business life cycle – not just at the time of sale.