Towne Holdings Buys HBI Freight

Towne Holdings, a portfolio company of the Charterhouse Group, said Wednesday that it has bought HBI Freight. Financial terms were not announced. Dulles, Va.-based HBI is an air cargo and home delivery trucking company. Towne, of South Bend, Ind., provides air, ocean and expedited freight services through a network of seventy terminals in the U.S., according to a statement. Charterhouse is a PE firm. The HBI acquisition is the fifth add-on deal for Towne Holdings.

PRESS RELEASE

Towne Holdings, Inc. (“Towne” or the “Company”), a portfolio company of Charterhouse Group, Inc., today announced that it has completed the acquisition of HBI Freight, Inc. (“HBI”), further strengthening the Company’s position as the nation’s largest privately-held provider of premium air cargo, ocean and ground logistics solutions.

Towne provides a wide range of air, ocean and expedited freight services through a national, asset-light network of seventy terminals throughout the United States. Through the HBI acquisition, Towne will be adding twelve East Coast service terminals. Based in Dulles, VA, HBI is one of the largest full-service air cargo and home delivery trucking companies on the Eastern Seaboard, serving international airlines and freight forwarders.

“This acquisition continues Towne’s buy-and-build strategy and is Towne’s fifth successful add-on or business assumption under Charterhouse’s ownership,” said William Landuyt, a Managing Director at Charterhouse. “Towne’s senior management sourced the opportunity on a proprietary basis.”

“Towne has developed an aggressive plan to better meet the needs of its international customer base by expanding its national terminal network and integrating complementary service offerings,” added Jay Gates, Charterhouse Managing Director of Business Services and a Towne Board member. Charterhouse Entrepreneur Roger Gibson, formerly a senior executive at United Airlines, also serves on the Board.

“The acquisition of HBI is the right opportunity to increase Towne’s market share and develop a more robust operation on the East Coast,” stated Tom Downey, Towne’s President and Chief Executive Officer. “We plan to integrate Towne’s nationwide services – airport-to-airport, local cartage, exclusive-use trucking and warehousing – into the East Coast market. Both companies share a similar value system and business culture that will facilitate the integration process.”

Since January 2007, Towne has successfully acquired or assumed the operations of four businesses – Complete Transport, Synergy Cargo Logistics, Texas Land and Air and Freightmasters, Inc.