HCI Equity Partners' Backed MSI Express Acquires Power Packaging
HCI Equity's Food Co-Packing Platform Completes Another Add-On
PORTAGE, Ind., Jan. 7, 2020 /PRNewswire-PRWeb/ -- MSI Express, backed by HCI Equity Partners, announced it acquired Power Packaging ("Power" or the "Company") on December 31, 2019. MSI Express is a leading provider of contract packaging and contract manufacturing services, primarily for well-known brands in the shelf-stable human and pet food space. The acquisition of Power further expands MSI Express's presence, capabilities, and customer relationships. Power is the third company to join the platform following HCI's August 2018 investment in Express Packaging and its May 2019 investment in Manufacturing Solutions International ("MSI"). Financial terms of the transaction were not disclosed.
Power Packaging has four production facilities with approximately one million square feet—two locations outside Chicago, one in Wisconsin, and one in Texas. The Company serves leading Consumer Packaged Goods companies ("CPGs") and adds capabilities such as aseptic beverage filling, stick packaging, and filling of jars, cans, and bag-in-box containers. Power also brings MSI Express into new food categories such as powdered beverages, soups and bases, baking mixes, beverage mixes, coffees and teas, food service beverages, dinner kits, pastas, rice, side dishes, and salad dressings.
The combined platform now has 12 production facilities with approximately two million square feet spanning Indiana, Illinois, Ohio, Wisconsin, and Texas. In addition to its core capabilities in primary packaging, it also provides secondary packaging, warehousing, distribution, and fulfillment services. Its facilities are SQF Level 3 certified and a number are also FDA registered and NSF certified.
"We are very excited about coming together with Power. It has a track record of more than 50 years of excellence in the industry. We look forward to offering our combined customer base a further expanded suite of services, deeper expertise, and the highest quality and on-time delivery standards," said Charles Weinberg, CEO of MSI Express.
"Power is highly complementary to MSI Express," stated HCI Managing Partner Doug McCormick. "It adds key new customer relationships and capabilities, solid team members, additional density in the Midwest—the largest co-packing/co-manufacturing market in the United States—and a foothold in Texas that enables MSI Express to serve the attractive local market and better serve the Southeast."
Kirkland & Ellis served as legal counsel to MSI Express. FINNEA Group served as the financial adviser to Power Packaging.
About MSI Express
MSI Express provides contract packaging and contract manufacturing primarily of well-known CPG brands in the liquid and dry food space. Headquartered in Portage, Indiana, MSI Express's core capabilities include dry mixing and blending, flexible pouches and sachets, liquid blending and filling, standcap pouching, canister filling, lidding, cup filling, and pet food filling. For more information, please visit http://www.msiexpress.com.
About HCI Equity Partners
HCI Equity Partners is a lower middle market private equity firm focused on partnering with family and founder owned distribution, manufacturing and service companies. For more information, please visit http://www.hciequity.com.
Contact: Kelsey Clute, Director of Communications
[email protected]
SOURCE HCI Equity Partners
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