Private investment firm Littlejohn & Co has agreed to sell Newgistics, a provider of technology-enabled parcel logistics to the e-commerce and direct-to-consumer retail industry, to Pitney Bowes (PBI) for approximately USD475 million.
Since being acquired by Littlejohn in 2013, Newgistics has undergone a period of tremendous growth, including: greater than 50 per cent increases in both revenue and EBITDA; substantial investments in software development, new product launches, automation and overall expansion of the network; developing international capabilities, now the Company’s fastest growing segment of business; successfully implementing management succession plan and making key hires in marketing and fulfilment; and fully integrating acquired fulfilment and system integration businesses into the Company’s core parcel logistics service offerings.
“Newgistics is an outstanding business and we are proud to have supported the Company’s growth and mission to deliver best-in-class omni-channel commerce solutions,” says Edmund Feeley (pictured), a Managing Director at Littlejohn. “Over the course of our partnership with Newgistics, the Company has been transformed into the leading player in the rapidly evolving and expanding e-commerce, logistics and fulfilment sectors. The Company’s accomplishments over the past four years are representative of the value we look to create and actively support in our portfolio companies. It has been a great pleasure working with the Newgistics team and we wish them continued success as part of Pitney Bowes.”
“Littlejohn has been an instrumental partner in helping us execute on our growth plan,” says Todd Everett, President and Chief Executive Officer of Newgistics. “With their support, we made great progress in capitalising on the tremendous opportunities from the growth of e-commerce, by developing new capabilities, significantly growing our revenue and earnings, adding new customers, and globalising our portfolio of services. We wish the Littlejohn team well and look forward to our next chapter as part of Pitney Bowes.”
The transaction is expected to close by late third or early fourth quarter subject to customary closing conditions.
Goldman Sachs served as financial advisor and Gibson, Dunn & Crutcher as legal advisor to Littlejohn.
