Integrated Supply Network

Integrated Supply Network (“ISN”) is a leading independent wholesale distributor and private brand owner of tools, equipment and supplies to the $250+ billion automotive aftermarket. ISN possesses a unique combination of factors that are sought by investors in the aftermarket: a defensible supply chain position that is highly recession-resistant, a 30-year history of above-market organic growth and a proven acquisition strategy. ISN’s position in the aftermarket supply chain is a critical link between more than 500 tool and equipment suppliers and 20,000 professional automotive resellers that ultimately sell to automotive mechanics and technicians. ISN’s international network of warehouses and a broad array of products, backed by customer service leadership, innovative use of technology and multi-step pull-through marketing capabilities, created a critical value proposition for both customers and suppliers.

a portfolio company of
has been acquired by

Auto Aftermarket Tools & Equipment

Situation

Audax Group and ISN management retained BlackArch to assist in realizing a return on their investment in ISN and to find a new partner positioned to capitalize on the company’s organic growth opportunities and robust acquisition pipeline.

BlackArch’s Customized Solution

BlackArch designed a tailored marketing process that targeted financial sponsors and strategic acquirors with experience in the automotive aftermarket. BlackArch visited a small group of potential acquirors for in-person meetings to ensure consistent positioning of key themes. To help interested parties understand the company’s value-added business model, marketing materials included price, volume and contribution margin by customer segment and individual SKU. ISN received significant interest from financial sponsors and strategic acquirors.

Outcome

ISN was acquired by Freeman Spogli & Co., a private equity firm dedicated exclusively to investing in and partnering with management in consumer and distribution companies. The ISN management team reinvested a significant portion of their proceeds in the company.

Industries:

Automotive Aftermarket, Distribution, Industrial Products

Location:

Lakeland, FL

Transaction type:

Sellside Advisory