About the Investment
Founded in 1968, Jacobson Companies is a national third-party logistics (3PL) and warehousing company dedicated to helping customers manage their supply chain management activities to achieve a greater return on assets. Jacobson operates within vertical segments, including warehousing, packaging, freight management, transportation and industrial staffing.
Cybus Capital Markets first introduced NEP to Jacobson, which was seeking a financial partner to support growth and provide liquidity for its shareholders, most notably its ESOP, which owned 50%.
Favorable industry trends and Jacobson’s consistent strong financial performance were among the qualities that initially attracted NEP to the investment opportunity in 2004. Jacobson also had a strong management team in place that had worked hard to build profitable, long-term customer relationships, and one of its key competitive advantages was its diversified high quality service offerings and innovative, customer-focused operations. Jacobson was well-positioned for future growth opportunities.
Over the course of the three year investment period, NEP partnered with Jacobson CEO Craig Petermeier and his management team to develop and execute an aggressive add-on acquisition strategy. Four add-ons were completed that helped broaden Jacobson’s customer base, geographic footprint and product offering. Jacobson tripled profitability and revenues under NEP’s leadership.
Oak Hill Capital Partners, a middle market private equity firm, acquired Jacobson from NEP in June 2007. In addition, NEP and Jacobson management together rolled over a significant portion of their proceeds resulting in a 20% post-closing ownership position.
NEP Investment Date
May 2004Add-On Activity
- Arthur Wells Group (July 2006)
- Wilpak (May 2006)
- Southwest Storage & Distribution (January 2006)
- Bekins Logistics (February 2005)
