Chicago Private Equity Firm Buys National Logistics Company

CHICAGO—Locally-based Wind Point Partners has acquired Louisville, KY-based national logistics firm A&R Logistics for an undisclosed price.

Wind Point Partners acquired A&R Logistics, a leading provider of dry bulk logistics for the chemical and plastics industries, from Milwaukee-based private equity firm Mason Wells. Wind Point will be partnering with A&R management, led by president and CEO Mark Holden, who joined the company in 2012.

A&R operates a national infrastructure of nearly 50 facilities, the industry’s largest fleet of specialized tractors and pneumatic trailers, and a leading technology suite customized for dry bulk transportation. The company states that among its new growth strategies include launching multiple new facilities totaling at least 2 million square feet in the Ports of Charleston and Savannah, GA to support the packaging and export of numerous resins including polyethylene, polyvinyl chloride, and polypropylene, among others.

Holden is a veteran executive in the logistics space, previously leading four separate investments to a successful sale or IPO. Holden’s most recent role prior to A&R was as president and CEO of Prime Distribution Services, a non-asset-based provider of logistics and freight consolidation services.  Holden and the entire A&R Logistics management team will remain with the business and retain a meaningful ownership stake along with Wind Point, in the company, according to Wind Point.

Konrad Salaber, managing director at Wind Point, says, “We are thrilled to partner with Mark Holden and the A&R team as they lead the company into a new phase of growth. We look forward to supporting a robust value creation plan that includes expanding A&R’s domestic infrastructure, aggressively growing export supply chain solutions in the Ports of Charleston and Savannah, and completing acquisitions to enhance the company’s scale and scope of service.”

“We are excited to have Wind Point as our partner for a number of reasons, key among them a deep knowledge of the logistics space and a reputation for strong collaboration with the management teams they sponsor,” says Holden. “We are very excited to work with Wind Point to grow A&R Logistics, and we see significant opportunities ahead for our company, customers, employees and partners as we grow the business organically and through acquisition.”

A&R’s organic growth strategy for the domestic dry bulk plastics market will focus on expanding its transportation infrastructure and national network of value-added warehouse facilities, the company reports. In addition, A&R will aggressively support its customers’ growing needs for export solutions by establishing what will become among the nation’s largest and most flexible export networks for plastic resins.

The company’s acquisition strategy will focus on acquiring companies that provide dry bulk transportation and warehousing services to producers and distributors of chemicals and plastics. In addition, A&R will seek to expand through acquisition into complementary services, including liquid chemical supply chain services.

Wind Point is an active investor in transportation, logistics and route-based businesses, with select prior investments including Dicom Transportation, St. George Logistics, Valicor Environmental Services, RailWorks and AIR-serv.

Debt financing for the transaction will be provided by Antares Capital, Bain Capital, First Eagle Investment Management, and Varagon Capital. Kirkland & Ellis LLP served as legal counsel to Wind Point. KPMG LLP provided transaction advisory services in connection with the transaction.

Mason Wells, while selling A&R Logistics, announced earlier this week it had acquired Woodbridge, IL-based RJW Logistics Group, Inc., a supply chain solutions provider with a specialized focus on LTL consolidation services designed for consumer-packaged goods suppliers to large, national retailers. The company was acquired from the Williamson family for an undisclosed price and will be owned by Mason Wells, members of current management and other co-investors.

“We are proud of the business we have built and excited about the opportunity to partner with Mason Wells to continue the rapid growth of RJW,” said CEO Kevin Williamson on behalf of the Williamson family ownership group.  “Mason Wells will provide RJW with additional resources to achieve the Company’s long-term growth initiatives and to continue to develop our industry-leading retail LTL consolidation services.”