GENEVA, ILLINOIS, January 5, 2011 — Peacock Engineering Company, LLC, a portfolio company of private equity investment firm Behrman Capital, announced today that it has been acquired by Charlesbank Capital Partners, a leading private equity firm with more than $2 billion of assets under management. The terms of the transaction, which closed on December 21, 2010, were not disclosed.
Peacock Engineering is a leading provider of outsourced food packaging and supply chain management services to many of the nation’s largest branded consumer products companies. It provides a full range of contract packaging services, including project engineering, design consulting, materials management, primary and secondary packaging and processing, and warehousing. The company offers USDA-certified, refrigerated packaging and processing capabilities that distinguish it from its peers. Peacock was acquired by Behrman Capital, in partnership with existing management, in January 2007.
“We are very proud of what the company accomplished during our partnership with Behrman Capital,” said Michael Bilder, President & CEO of Peacock Engineering. “Behrman’s leadership enabled us to leverage our strong reputation for quality and food safety to further expand our capabilities, strengthen our existing customer relationships, forge new partnerships with blue-chip customers, and more than double our revenues. We now look forward to working with Charlesbank, whose support will allow us to continue offering top-tier service while growing with our customers.”
“Peacock Engineering is an industry leader with a long history of deep, strategic customer partnerships,” said Jon Biotti, Managing Director of Charlesbank. “We are delighted to have the opportunity to back Mike Bilder and his accomplished management team. We believe that Peacock’s exceptional capabilities and well-deserved record of success will position it well for further growth.”
“This transaction marks the conclusion of our very successful investment in Peacock,” said Grant G. Behrman, Managing Partner of Behrman Capital. “Over the past four years, despite a challenging economic environment, the company’s revenues grew organically at a compounded annual growth rate of over 20%, underscoring the company’s strong customer relationships that are supported by an increasing number of sole-source contracts, as well as its commitment to operational excellence. Through our partnership with Mike Bilder and his team, we have generated an attractive return for our investors of approximately 2.0x invested capital, while ensuring that Peacock continues to prosper in the years ahead.”
Harris Williams & Co. acted as financial advisor and Goodwin Procter LLP acted as legal advisor to Peacock Engineering for the transaction. Covington & Burling, LLP acted as legal advisor to Charlesbank.
About Peacock Engineering
Founded by Harold Peacock in 1942, Peacock Engineering provides a full range of contract packaging services to the nation’s leading consumer product food companies, including Annie’s Organic, ConAgra Foods, General Mills, Gerber, Kellogg’s, Kraft, Land O’Lakes, Nestle, Sara Lee, Tootsie Roll, Unilever and Wrigley. The company specializes in refrigerated, frozen, and shelf-stable primary processing and packaging, as well as secondary kit assembly and promotional packaging in both refrigerated and ambient environments. Peacock operates out of four state-of-the-art facilities totaling over 1,200,000 square feet located in the greater Chicago area, with USDA certification at two of its facilities. For more information, please visit www.peacockeng.com.
About Charlesbank Capital Partners
Based in Boston and New York, Charlesbank Capital Partners is a middle-market private equity investment firm managing more than $2 billion of capital. Charlesbank focuses on management-led buyouts and growth capital financings, typically investing $50 million to $150 million per transaction in companies with enterprise values of $100 million to $750 million. The firm seeks to partner with strong management teams to build companies with sustainable competitive advantages and excellent prospects for growth. Visit www.charlesbank.com for more information.
About Behrman Capital
Based in New York City and San Francisco, Behrman Capital was founded in 1991 by Grant G. and Darryl G. Behrman. The firm invests in management buyouts, leveraged buildups and recapitalizations of established growth businesses. The company’s investments are primarily focused in five industries: defense, specialty manufacturing, outsourcing, health care and information technology. The firm currently has a combined capital base in excess of $2.0 billion. For more information, please visit www.behrmancap.com.
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Michael Freitag or James David
Kekst and Company
Charlesbank Capital Partners: