New Breed Announces Investment by Warburg Pincus
HIGH POINT, NC - June 23, 2005
New Breed, a lead logistics and supply chain management company, announced today that Warburg Pincus, the global private equity firm, has acquired an equity interest in the company. In making the investment, Warburg Pincus acquired an interest previously held by Eos Partners. Terms of the transaction were not disclosed.
"We have enjoyed a great relationship with Eos Partners, achieving substantial growth over the past four years," commented New Breed Chairman and CEO, Louis DeJoy. "Moving forward, Warburg Pincus is an ideal partner as we take our company to the next level through both organic and acquisition growth. Warburg Pincus has a strong track record and shares our strategic vision for growth and industry leadership."
New Breed has a 30-year history of delivering robust, cradle-to-grave, information technology-based supply chain solutions. Focused on designing, implementing and operating outsourced programs that transform the supply chains of large organizations, New Breed counts Siemens Medical Solutions, the United States Postal Service, Boeing, Verizon Wireless, and the U.S. Marine Corps among its largest customers. The company has 2,500 employees, operates 30 distribution facilities and annually distributes $12 billion in products worldwide.
"New Breed differentiates itself with a depth of IT investment and a reputation for customer satisfaction that are unparalleled in the third party logistics industry," said Pat Hackett, a Managing Director of Warburg Pincus. "We believe that clients increasingly demand the type of complex and robust technology-focused solutions that New Breed provides."
Commenting further on the transaction, Alex Berzofsky, a Warburg Pincus Vice President added: "Louis has built the company around a culture of operational excellence, and we are excited to help him build on that success. New Breed is an incredibly strong platform that we will actively seek to expand and grow, both organically and through acquisitions."
In conjunction with the agreement, New Breed also announced that the two Warburg Pincus professionals, Hackett and Berzofsky, will join the New Breed Board of Directors.
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About New Breed
New Breed is a national distribution center operations company, featuring world-class capabilities in distribution services, reverse logistics & repair, and supply chain consulting. Clients include Verizon Wireless, Siemens Medical Solutions, the United States Postal Service, and the U.S. Marine Corps. Nationally recognized for its superior services, New Breed is consistently named among the Top Third Party Logistics Providers, and one of the top "North Carolina 100" privately held companies by Grant Thornton. New Breed employs more than 3,000 people and operates more than 30 distribution centers.
About Warburg Pincus
Warburg Pincus has been a leading private equity investor since 1971. The firm currently has approximately $13 billion under management and invests in a range of industries including media and business services, information and communication technology, financial services, healthcare, LBOs and special situations, energy and real estate. Warburg Pincus has invested in various companies in the supply chain/logistics space, including Manugistics, Radhakrishna Foodland, World Logi and GT Nexus. An experienced partner to entrepreneurs seeking to create and build durable companies with sustainable value, the firm has offices in North America, Europe and Asia and an active portfolio of more than 100 companies. For more information please visit www.warburgpincus.com.
