Global supply chain management provider secures Equistone investment

Equistone

Equistone Partners Europe Limited (“Equistone”), the European mid-market private equity investor, today announces its investment in global supply chain management provider Ligentia. The financial terms of the investment are undisclosed.

Founded in 1996 by group CEO Nick Jones, Ligentia has a team of 400+ professionals across 25 locations worldwide. The firm manages the international freight and supply chains for some of the world’s leading retailers, consumer brands and healthcare providers.

Ligentia recorded revenues of c. £300m in 2020, representing strong year-on-year growth which is expected to continue.

The investment from Equistone, with its pan-European network of offices, will support Ligentia in delivering its ambitious growth plans through strategic acquisitions. It will also support the enhanced development of Ligentix; Ligentia’s proprietary customer technology platform.

Ligentia will continue to be led by its founder and CEO Nick Jones, who alongside the existing management will also invest in the business.

Nick Jones, Founder and CEO of Ligentia, said:

“Ligentia has always had an exceptional ability to adapt according to customer and market requirements and we work hard to ensure that customers drive our strategy and ways of working. Over the past 12 months we have adapted again, as our customers and colleagues around the world have endured some of the most challenging times. Our significant investment in our technology platform means we have been able to not only maintain our service to customers, but deliver some substantial change in the way we work. That investment has positioned Ligentia at the forefront of change in our sector.”

“Our new partnership with Equistone will allow increased investment in our business at a time where there is a considerable awareness of global supply chains and the risks that organisations face without the right visibility systems and partners.”

“Equistone has an exceptional track record of supporting fast-growth global companies like ours, as well as a deep understanding of the market. We are really excited about this next part of our journey with a valuable partner on board.”

Sebastien Leusch, Investment Director at Equistone Partners Europe, said:

“Ligentia has 25 years of experience in global supply chain management with some of the world’s most admired brands. Thanks to its strong management team, the business is known for its particularly high customer service levels, underpinned by a stand-out technology platform. This unique combination, at a time where the importance of seamless global supply chain management is particularly heightened, makes this investment a particularly exciting one.

We are therefore delighted to have this opportunity to invest and we look forward to working alongside Nick and the wider team on Ligentia’s next phase of growth and product development.”

Sebastien Leusch, Chris Candfield and Steve O’Hare led the investment on behalf of Equistone. Equistone was advised by DC Advisory, Addleshaw Goddard and PwC.

Ligentia was advised by Rothschild, Squire Patton Boggs, KPMG, Roland Berger and Crosslake.

Santander is providing revolving credit facilities to Ligentia as part of the transaction.

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KKR Releases “A New Era for Supply Chains”

KKR

December 9, 2020

New Report Explains Why Supply Mesh is the New Supply Chain

NEW YORK–(BUSINESS WIRE)– KKR today announced the release of a new KKR Viewpoints publication authored by Neil Brown and Frances Lim. In A New Era for Supply Chains, Brown and Lim discuss how business leaders and investors around the world must evaluate and adapt the way they think about supply chains, particularly at a time of immense disruption to existing business models.

“Over the last year, COVID-19 lockdowns, product scarcity, limits on medical equipment and therapeutics, increasingly nationalist economic policies and heightened geopolitical confrontation, have each had significant – and largely negative – effects on conventional supply chains,” said Brown and Lim. “Amidst this complexity, we believe business leaders must extend supply chain thinking beyond margin maximization to address issues of resiliency, sustainability and geopolitical risk. In our view, they must think of supply chains as less of a chain and more a mesh of interlocking inputs.”

In the piece, Brown and Lim outline five key considerations for business leaders and investors considering supply chain design:

  1. Building resiliency is key to securing supply chains post-COVID. Resiliency strategies for businesses vary and include diversification, mirroring production of critical components, stockpiling and distributing logistics nodes.
  2. Supply chains will need to evolve as they continue to face uncertainty from a more volatile geopolitical environment, more inward-looking national politics and increasing supranational risks such as climate change and public health.
  3. Supply chain thinking needs to incorporate a more holistic view – one that sees the traditional supply of goods as being embedded in a ‘mesh’ of interlocking inputs, each with its own risks and value levers.
  4. Focus on a supply chain’s critical nodes of vulnerability. Trying to mitigate risk along every link in the broad mesh of inputs in which supply chains sit will lead to spiraling costs for greatly diminished returns.
  5. This period of supply chain rethinking presents an opportunity to build for a future in which supply chains adapt to the need for environmental sustainability and adoption of automation technologies.

In their report, Brown and Lim explain that while change can always be challenging, the adjustment to global supply chains can also present opportunities for businesses and investors, including: 1) domestic and regional demand over global demand; 2) new infrastructure and logistics; 3) increasing automation; 4) continuation of China’s manufacturing upgrade; 5) new emphasis on diversification; 6) greater demand for ESG solutions; and 7) increased prospects for opportunistic investments.

Links to access this note as well as an archive of KKR’s previous publications follow:

  • To read the latest Insights: click here.
  • To download a PDF version: click here.
  • To download the KKR Insights app for iOS click here, and for Android click here.
  • For an archive of previous publications please visit www.KKRinsights.com.

About Neil Brown

Neil R. Brown is a Managing Director at the KKR Global Institute and KKR Infrastructure. Mr. Brown works at the intersection of finance and geopolitics to invest in new markets globally, analyze global trends and risk, and build strategy. Mr. Brown also specializes in global infrastructure and energy, and he has been involved with KKR investments on five continents. Mr. Brown is a Senior Fellow at the Atlantic Council of the United States. Previously, Mr. Brown served for more than eight years as Senior Staff Member of the U.S. Senate Foreign Relations Committee, leading legislative efforts and oversight on global energy security and governance, environment, and domestic energy, and he worked on countering weapons of mass destruction. Learn more about Mr. Brownhere.

About Frances Lim

Frances Lim is a Managing Director and Head of Asia Macro on KKR’s Global Macro, Balance Sheet and Risk team. She also leads portfolio management and asset allocation for KKR’s Strategic Partnership effort (KSPI). Prior to her role with KSPI, Ms. Lim was based in Sydney, working alongside investment teams in Asia in her capacity as the Head of Asia Pacific Macro and Asset Allocation. Prior to joining KKR, she was a vice president at Morgan Stanley Investment Management (MSIM) and a member of the Global Macro and Asset Allocation team. Ms. Lim focused on macro trends and top-down global analysis and was a co-portfolio manager of the MSIF Absolute Return Currency Fund. Learn more about Ms. Limhere.

About KKR

KKR is a leading global investment firm that manages multiple alternative asset classes, including private equity, credit and real assets, with strategic partners that manage hedge funds. KKR aims to generate attractive investment returns for its fund investors by following a patient and disciplined investment approach, employing world-class people, and driving growth and value creation with KKR portfolio companies. KKR invests its own capital alongside the capital it manages for fund investors and provides financing solutions and investment opportunities through its capital markets business. References to KKR’s investments may include the activities of its sponsored funds. For additional information about KKR & Co. Inc. (NYSE: KKR), please visit KKR’s website at www.kkr.com and on Twitter @KKR_Co.

The views expressed in the report and summarized herein are the personal views of Neil Brown and Frances Lim of KKR and do not necessarily reflect the views of KKR or the strategies and products that KKR offers or invests. Nothing contained herein constitutes investment, legal, tax or other advice nor is it to be relied on in making an investment or other decision. This release is prepared solely for information purposes and should not be viewed as a current or past recommendation or a solicitation of an offer to buy or sell any securities or to adopt any investment strategy. This release contains projections or other forward-looking statements, which are based on beliefs, assumptions and expectations that may change as a result of many possible events or factors. If a change occurs, actual results may vary materially from those expressed in the forward-looking statements. All forward-looking statements speak only as of the date such statements are made, and neither KKR nor Mr. Brown nor Ms. Lim assumes any duty to update such statements except as required by law.

Cara Major or Miles Radcliffe-Trenner
212-750-8300
media@kkr.com

Source: KKR

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Edison Partners Leads $8 Million Growth Investment in Suuchi

Edison Partners

Accelerates go-to-market execution, product innovation and network expansion for next-generation supply chain platform for fashion brands and retailers

 

PRINCETON, NJ—April 25, 2019—Edison Partners, the growth equity investment firm, today announced an $8 million growth investment in Suuchi, the next-generation supply chain platform provider for fashion brands and retailers. The company will use the funds to accelerate go-to-market execution and product innovation, as well as continue to expand its network of designers, materials suppliers and factories throughout the United States.

 

In the $2 trillion global apparel manufacturing market, the need to shrink the time from concept to consumer is prompting more fashion brands and retailers to seek supply-chain modernization. Suuchi delivers a next-generation approach to apparel supply chains that streamlines the connection of design and sourcing to US-based shop-floor manufacturing and provides complete, real-time transparency throughout the entire process.

 

“Time is the biggest risk factor for fashion brands and retailers in today’s supply chain, and legacy systems and processes continue to hinder time to market, not to mention growth, profits and consumer experience,” said Kelly Ford, Partner, Edison Partners, who led the investment and joins the company’s board of directors. “Suuchi is changing the game for apparel brands of all sizes, with a network-driven SaaS platform that makes not only speed, but also profitability, possible with ‘made in the USA.’”

 

Suuchi’s platform is a modern, intuitive SaaS-based application, called Suuchi GRID, powered by a curated network of 200+ freelancers, materials suppliers, and U.S.-based factories with a current available capacity of more than 8M units. Today, more than 200 fashion businesses, from large brands, like Cintas, to mid-tier and emerging brands, like Little Giraffe, are streamlining their supply chain workflows and production on the platform.

 

“We are reducing fashion supply chain complexity and time to market for brands and retailers by creating a more intelligent bridge between supply and demand; and with our shop-floor subject matter expertise, we are dematerializing the supply chain into a digital, made-local model,” said Suuchi Ramesh, founder and CEO of Suuchi. “With this investment, we are poised to provide a scalable answer to one of the world’s last trillion-dollar problems yet to be solved. In Edison Partners, and Kelly Ford, we have the perfect trifecta of strategic vision alignment, enterprise solutions experience, and a world-class team of operating experts to guide our fast growth.”

 

Ramesh, an immigrant from India, started the company in 2016 after 10-plus years in successful roles in technology, analytics and sales at two companies that became unicorns in their industries. She was an EY Entrepreneur of the Year for New Jersey in 2018 and named to the ROI-New Jersey Influencers Power List for 2019. Last year, the company was also awarded NJ Grow innovation incentives by the New Jersey Economic Development Authority to further develop its business in the state. The company currently employs 120 people at its North Bergen headquarters and is actively hiring for positions in sales, marketing, software engineering, human resources and finance.

 

Edison Partners has financed and guided more than 200 private companies throughout the eastern United States, a third of which have been in the enterprise solutions space. Suuchi is the 48th investment in the firm’s home state of New Jersey. In addition to Suuchi, Edison’s active NJ-based investments include Northpass, Scivantage, Trialscope and Zelis Healthcare.

 

About Suuchi

Suuchi Inc. is a next-generation supply chain platform for fashion brands and retailers. Using its product lifecycle management (PLM) application, Suuchi GRID, and its network of carefully curated freelancers, factories and mills, Suuchi designs and produces millions of units at speedy turnarounds. Suuchi is transforming retail, enabled by mega trends of just-in-time production, shop-floor integration, and supply chains created for consumer demand. For more information, visit https://www.suuchi.com/

 

About Edison Partners

For more than 30 years, Edison Partners has been helping CEOs and their executive teams grow and scale successful companies. The firm’s investment team brings extensive investing and operating experience to each investment. Through a unique combination of growth capital and the Edison Edge platform, consisting of operating centers of excellence, the Edison Director Network, and executive education programs, Edison employs a truly integrated approach to accelerating growth and creating value for businesses. A team of experts in financial technology, healthcare IT and enterprise solution sectors, Edison targets high-growth companies with $5 to $25 million in revenue; investments also include buyouts, recapitalizations, spinouts and secondary stock purchases.

 

Edison’s active portfolio has created aggregated market value exceeding $10 billion. Edison Partners is based in Princeton, NJ and manages more than $1.4 billion in assets throughout the eastern United States.

 

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