CINCINNATI OH: May 28, 2009 – Intelligrated and FKI Logistex Group Limited today announced the signing of a definitive agreement to combine the two businesses, creating the leader in automated material handling systems and services. Under terms of the agreement, Intelligrated will purchase the FKI Logistex operations located in North and South America from Melrose plc (LSE: MRO), a UK–based specialist manufacturing investment group. The combined company will continue to manufacture and support its Crisplant brand loop sorters, Alvey brand palletizers, Real Time Solution fulfillment systems as well as other products and services traditionally offered by both Intelligrated and FKI Logistex.
“This exciting agreement brings together the talent and innovation of two market–leading companies that offer complementary material handling solutions and a shared focus on customer relationships,” said Christopher C. Cole, Chief Executive Officer and Co–Founder of Intelligrated.
James R. McCarthy, President, Chief Operating Officer and Co–Founder of Intelligrated, added: “We believe that this combination creates strong opportunities for both our customers and our associates, as we offer broader solutions to better serve our valued clients, which will further accelerate our growth and development of innovative products.”
With this purchase, the new Intelligrated will become a leading material handling systems provider to the warehouse, distribution, postal and consumer goods manufacturing markets. Intelligrated will maintain its headquarters in Cincinnati and will have sales offices and operations in 10 states, including sizeable operations in Canada and Mexico, and manufacturing plants in Ohio, Missouri and Kentucky. Intelligrated will also have key systems operations in California and Maryland.
“This agreement signals a new era for us all, bringing together our respective resources, technologies and expertise, becoming the leading single–point provider of automated material handling solutions,” said Stephen Ackerman, President, FKI Logistex, who is continuing in a senior leadership role in the combined company. “Importantly, our customers will remain our top priority as we seek to execute a seamless transition.”
Intelligrated is privately owned by Gryphon Investors, its majority shareholder, Tudor Ventures and Management.
David Andrews, President and Managing General Partner of Gryphon, said: “Through strong organic growth, one previous acquisition and this exciting combination with Logistex, Intelligrated is now positioned as the clear industry leader. Gryphon looks forward to working proactively with management of both companies to achieve exceptional growth and value for all shareholders.”
For more information about this announcement, please visit www.intelligrated.com or www.fkilogistex.com.
Intelligrated® (www.intelligrated.com) is an American–owned supplier of integrated material handling systems that provides logistics solutions throughout the supply chain with services and products primarily serving the warehousing and distribution sector. The world-class equipment we produce demonstrates our ability in high–speed case sortation, accumulation, merging and controls technology, all supported by 24x7 Customer Service and Sales.
About FKI Logistex
FKI Logistex® (www.fkilogistex.com) is a leading provider of automated material handling solutions, supplying its customers with an integrated set of leading–edge technologies in high–speed sortation, conveyor systems, palletizing, paperless pick products, AS/RS, controls, order fulfillment systems, RFID implementation, EDS integration, baggage handling systems, warehouse control systems, and total material handling automation. FKI Logistex provides material handling solutions for airports, postal facilities, parcel distribution, manufacturing operations, library automation, and for warehouse and distribution facilities.
About Gryphon Investors
Based in San Francisco, Gryphon Investors focuses on leveraged acquisitions of, and growth investments in, middle–market companies in partnership with experienced management. Having managed more than $1 billion of discretionary equity capital, Gryphon has an extensive track record of investing $25 to $75 million of its own capital in companies with sales ranging from $25 to $250 million. Gryphon prioritizes investment opportunities where it can form proactive partnerships with owners and executives to build leading companies, utilizing Gryphon's capital, professional resources and significant financial and operational experience.
Tudor Ventures is the venture capital and private equity arm of Tudor Investment Corp., an internationally recognized, diversified investment management firm.