GREENWICH, CT, June 11, 2010 - Littlejohn & Co., LLC, a private investment firm that applies an operational approach to building middle-market companies, today announced the sale of portfolio company Kenan Advantage Group, Inc., the largest nationwide independent provider of fuel and bulk liquid transportation and logistics services.
Headquartered in North Canton, OH, Kenan has annual revenues of approximately $700 million. It operates three divisions: The Fuels Delivery Group delivers refined petroleum products and renewable fuels, including gasoline, diesel, aviation and ethanol; Specialty Products Group, one of the largest bulk transporters of liquids ranging from chemicals to food grade products, and; KAG Logistics Group, a fully automated end-to-end logistics service provider that designs and delivers nationwide supply chain solutions.
"Kenan is a strong company that was made even better through a series of strategic initiatives and operational improvements," said Edmund J. Feeley, a Managing Director at Littlejohn. "In the past five years, Kenan created a completely new logistics business that is profitable and growing rapidly and built a state-of-the art IT platform to enhance business operations and create additional value for their customers. Combined with key strategic acquisitions that broadened access to markets and diversified the company's customer base, the company was able to enhance margins and cash flow resulting in this very successful realization for our investors."
Kenan operates approximately 100 terminals and 100 satellite locations. Its customer base includes many of the major oil companies, truck stop chains, convenience stores, hypermarkets, aviation fuel marketers and other national and regional petroleum marketers. Kenan also services chemical manufacturers and manufacturers of bulk liquid food products. As the only independent fuels delivery carrier with a nationwide network, Kenan's operations in 38 states provide the ability to deliver within all 48 states of the continental United States and Canada.
Kenan President and CEO, Dennis Nash, said, "Working with Littlejohn over the past five years provided an invaluable opportunity to focus on identifying new opportunities to grow this business into an industry leader with a strong national presence. The resources and capital they provided helped us to achieve market share gains in existing business lines, as well as to add new services such as delivery of alternative fuels and food grade products."
Kenan was acquired by GS Capital Partners, Centerbridge Partners and management.