June 08, 2012      

Intelligrated, a leading North American-based provider of automated material handling solutions, services and products, announced today that it has entered an agreement to be acquired by a holding company owned by the European private equity firm Permira funds in a transaction at a valuation in excess of $500 million.The transaction, which is subject to regulatory approvals and customary closing conditions, is expected to close in the third quarter of 2012.

Intelligrated’s management, led by founders Chris Cole and Jim McCarthy, will maintain a significant stake in the company as part of the transaction and will continue to lead the company.

The transaction, which is subject to regulatory approvals and customary closing conditions, is expected to close in the third quarter of 2012.

Intelligrated designs, manufactures and installs complete material handling automation solutions for the warehousing, distribution, consumer product manufacturing, postal and parcel markets. Solutions include conveyor systems, sortation systems, palletizers and robotics, order fulfillment systems, warehouse control software and advanced machine controls. Intelligrated will remain headquartered in Mason, Ohio, a suburb of Cincinnati, and has operations throughout the United States and in Canada, Mexico and Brazil.

This investment fits squarely into the Permira funds’ strategy. It involves a team working across three of our core investment sectors–industrial services, consumer and technology–and is wholly consistent with our approach in North America, which is to find leading companies in the U.S. who can utilize our unique ability to leverage our deep ties in Europe, Asia and Latin America to realize their international potential.
–John Coyle, Partner and Head of North America at Permira

The Permira funds’ investment will support the company’s growth opportunities, including further penetration of its customer base in North America, emerging markets expansion in partnership with its global customers, increased product offerings and global capabilities through investment and selective M&A, and an enhanced focus on aftermarket services.

“Intelligrated is well-positioned to capitalize on the growing demands on companies to increase supply chain efficiency and better serve the evolving needs of their customers,” said Richard Carey, Partner and co-Head of the Global Industrials Group at Permira. “The company is continuing to grow, as evidenced by the ongoing expansion of the facilities in Mason, which will enhance Intelligrated’s ability to provide advanced solutions for its blue-chip customers.”

John Coyle, Partner and Head of North America at Permira commented, “This investment fits squarely into the Permira funds’ strategy. It involves a team working across three of our core investment sectors–industrial services, consumer and technology–and is wholly consistent with our approach in North America, which is to find leading companies in the U.S. who can utilize our unique ability to leverage our deep ties in Europe, Asia and Latin America to realize their international potential.”

Morgan Stanley & Co. acted as lead financial advisor to the Permira funds and RBC Capital Markets acted as co-advisor. Skadden, Arps, Slate, Meagher & Flom LLP served as legal advisor to the Permira funds.

About Intelligrated
Intelligrated (www.intelligrated.com) is a leading North American-owned, single-point provider of automated material handling solutions with operations in the U.S., Canada, Mexico and Brazil. Headquartered in Mason, OH, Intelligrated designs, manufactures and installs complete material handling automation solutions, including conveyor systems, IntelliSort® sortation systems, Alvey® palletizers and robotics, Real Time Solutions® order fulfillment systems, warehouse control software and advanced machine controls–all supported by 24×7 Customer Service and Support.

Serving the warehousing, distribution, consumer product manufacturing, postal and parcel markets, Intelligrated collaborates closely with its clients to develop productivity solutions and support their needs throughout the life of their material handling systems.