XPO Logistics Inc has acquired UX Specialized Logistics from Seacoast Capital. The price of the transaction was $59 million. Harris Williams & Co. was the financial advisor to Seacoast and UX on the transaction. UX is a North American provider of last-mile logistics for retail chains and ecommerce companies.
Seacoast Capital (“Seacoast”) has announced the sale of UX Specialized Logistics (“UX” or the “Company”), a leading North American provider of last mile logistics services for major retail chains and e-commerce companies, to XPO Logistics, Inc. (“XPO”) (NYSE: XPO). The purchase price was $59 million, excluding any working capital adjustments, with no assumption of debt or cash. UX had revenue and adjusted EBITDA of $113.2 million and $8.2 million, respectively, for the full year 2014. During Seacoast’s investment period, UX increased revenue at a compound annual growth rate of 19% for the five years ended December 31, 2014.
About UX Specialized Logistics
UX Specialized Logistics is a leading North American provider of last-mile logistics with services ranging from white glove home delivery, assembly and installation, and warehousing and fulfillment, to on-demand same-day expedited delivery, for major retail chains and e-commerce companies. Founded in 1978 in New York City, UX has grown to a market leader, facilitating over 7,000 daily deliveries and employing approximately 700 employees, with contracted capacity of over 1,600 independent carriers and installers nationwide.
Eben Moulton, Partner at Seacoast, stated: “In partnership with management, we have implemented many growth and operational improvement initiatives, including expanding the Company’s service offering, geographic footprint, and customer base; as well as driving greater operational efficiency by investing in quality systems, processes, and people. On behalf of the entire Seacoast team, it has been a true pleasure working with Steven Moelk (CEO), Adam Mitek (President), Christine Chan (COO), Arthur LaGrega (President of Assembly & Installation), Bill Maloof (CFO), and the rest of the very talented management team at UX Specialized Logistics.”
Harris Williams & Co. served as the financial advisor to Seacoast and UX.
About Seacoast Capital
Seacoast was founded in 1994 to make non-controlling subordinated debt and equity investments in privately-held lower middle market companies. Seacoast specializes in “sponsorless” transactions, preferring to deal directly with company owners or management teams, although it will selectively consider investments led by professional investor groups. Seacoast typically provides between $3MM and $12MM of debt and equity capital for acquisitions, growth, shareholder buyouts, management buyouts, and leveraged recapitalizations to provide shareholder liquidity. While industry agnostic, Seacoast broadly invests in the specialty manufacturing, value-added distribution, and business services sectors. Seacoast generally targets investments in companies with a minimum of $10MM in revenue and $2MM of EBITDA. With offices in Boston and San Francisco, Seacoast has the ability to invest in businesses across the U.S. – having invested approximately $300MM in over 20 states since 1994. For more information, or to submit an investment opportunity to Seacoast, please contact Eben Moulton at (978) 750-1305, or via e-mail at email@example.com, or Alan Rich by phone at (978) 750-1310, or via e-mail at firstname.lastname@example.org.