Sole Source buys IDI

Sole Source Capital LLC has acquired Brunswick, Ohio-based I.D. Images, a provider of product identification solutions.

Sole Source Capital LLC has acquired Brunswick, Ohio-based I.D. Images, a provider of product identification solutions. No financial terms were disclosed. Citizens Bank acted as financial advisor to I.D. Images on the deal while Keybanc Capital Markets did likewise for Sole Source Capital.

PRESS RELEASE

DALLAS–(BUSINESS WIRE)–Sole Source Capital LLC, an industrial-focused private equity firm, announced today that it has acquired I.D. Images (“IDI”), a premier provider of product identification solutions. Terms of the transaction were not disclosed.

Established in 1995, IDI is a manufacturer of high-quality durable and graphic intensive labels that address a broad range of product identification needs for a variety of end markets and customers. The company offers custom and stock labels to distributors, value-added resellers, and label converters and printers. Headquartered in Brunswick, OH, the company has eight manufacturing and distribution locations across the United States.

“We selected product identification labels late last year as a thematic beneficiary of supply chain digitization, e-commerce and rising traceability requirements in the food and healthcare sector,” said David Fredston, Founder and CEO of Sole Source Capital. “We are excited to partner with IDI to provide significant capital and integration expertise as the company executes its buy-and-build strategy within this highly fragmented industry.”

“By leveraging Sole Source Capital’s experience investing in leading industrial companies as well as its operating and M&A capabilities, we believe this partnership will propel IDI’s continued expansion across North America,” said Scott Sussman, Partner and CIO of Sole Source Capital. “IDI has a longstanding track record as a market leader and a strong reputation and network of relationships that will be valuable as we source accretive M&A opportunities.”

Brian Gale, President and Chief Executive Officer of I.D. Images, said “This partnership with Sole Source is a testament to the tremendous efforts and hard work of the I.D. Images team to build a differentiated value proposition in the market. Development of carefully cultivated customer solutions combined with teamwork have become deeply embedded characteristics of our company. As demand for our products continues to grow, we believe that now is the right time to bring on a partner that can provide strategic capital as well as operational and financial expertise. The IDI team looks forward to partnering with SSC.”
Citizens Bank acted as the exclusive financial advisor to I.D. Images and Keybanc Capital Markets acted as the exclusive financial advisor to Sole Source Capital in connection with the transaction.

About Sole Source Capital
Founded in 2016 by David Fredston, Sole Source Capital is a private equity firm that thematically invests in fragmented, high-growth industrial subsectors. Sole Source seeks founder-owned businesses or corporate carve-outs that will benefit from the team’s operating and M&A capabilities. The Firm has a strong operating heritage that enables it to execute a buy and build strategy with significant downside protection. The Firm is headquartered in Dallas, Texas with offices in Santa Monica, California. For more information, please visit www.solesourcecapital.com or contact investor.relations@solesourcecapital.com.

About I.D. Images
I.D. Images, a leading manufacturer of converted label products, specializes in providing label solutions from supply chain management to brand protection. The company serves varied markets including Transportation and Logistics, Food and Beverage, Consumer Durables and Healthcare and has facilities in Cleveland (Brunswick), Cincinnati, Charlotte, California, Arkansas, Boston, and Tennessee. For more information, please visit www.idimages.com.