New York, NY – CI Capital Partners, a prominent private equity firm based in New York, has announced the successful completion of the sale of its portfolio company, Impact Group, to Acosta, a leading integrated sales and marketing services provider specializing in the consumer packaged goods (CPG) industry. The definitive agreement, finalized recently, marks a significant milestone for CI Capital Partners, highlighting its strategic investment approach and operational expertise in driving substantial growth within its portfolio companies. Impact Group, under CI Capital’s ownership, transformed from a regional player into a national force in outsourced sales and marketing solutions for CPG manufacturers.
CI Capital Partners acquired Impact Group in April 2016 and embarked on a transformative journey, implementing a robust buy-and-build strategy that included 12 strategic add-on acquisitions of complementary sales and marketing agencies. This aggressive expansion was coupled with significant operational enhancements. CI Capital invested heavily in bolstering Impact Group’s e-commerce capabilities through strategic partnerships and key talent acquisition. Furthermore, investments in advanced technology systems and business intelligence tools were instrumental in refining forecasting capabilities and streamlining operations. These strategic initiatives and process improvements were pivotal in positioning Impact Group for accelerated growth and national expansion.
When CI Capital Partners initially invested in Impact Group, the company’s operations were primarily concentrated in six states across the Western United States. Under CI Capital’s guidance and strategic investments, Impact Group experienced exponential growth, achieving a nationwide presence spanning the 48 contiguous states. This expansion is a testament to the successful partnership between CI Capital and the Impact Group management team. Remarkably, during CI Capital’s ownership period since April 2016, Impact Group’s revenue increased ninefold, and its EBITDA surged tenfold, underscoring the remarkable value creation achieved through this collaboration.
Tim Hall, Managing Director at CI Capital Partners, commented on the successful transaction, stating, “Our initial investment in Impact Group in 2016 was predicated on recognizing the opportunity to build a market-leading company catering to the rapidly growing specialty and natural food sectors. Through a proactive buy-and-build strategy, we successfully expanded Impact Group both organically and through targeted acquisitions, cultivating a premier client roster and establishing a robust national footprint.” Will Swayne, also a Managing Director at CI Capital Partners, added, “We deeply value the collaborative partnership we fostered with the Impact Group team over the past five years. We extend our best wishes to them as they embark on the next exciting chapter with Acosta.”
Echoing the sentiment of successful partnership, Matt Buskirk, President of Impact Group, remarked, “CI Capital Partners’ support was instrumental in Impact Group’s evolution from a regional, specialty-focused entity to a national leader with deep-rooted local market expertise in the natural, specialty, ethnic, and emerging brand segments. Together, we have built a formidable company that is well-positioned to enhance its service offerings and deliver even greater value to our clients moving forward.”
As part of the transaction, CI Capital Partners will retain Impact Group’s Cluep business unit, a digital advertising agency acquired in September 2018. The sale of Impact Group to Acosta is anticipated to officially close in July 2021, pending customary regulatory approvals and closing conditions. This successful divestiture underscores CI Capital Partners’ expertise in nurturing and scaling middle-market companies to achieve significant market value and strategic exits.
About Impact Group
Established in 1994, Impact Group is recognized as a dynamic and results-oriented sales and marketing agency. With a widespread network of offices and dedicated teams across the nation, Impact Group brings decades of collective experience within the retail broker and CPG landscape. This deep industry knowledge empowers clients to forge stronger connections with retailers and drive substantial sales growth. Impact Group differentiates itself through its commitment to disruptive and innovative services, encompassing sales, merchandising, and insightful category analytics support for CPG companies. Trusted by over 700 prominent CPG companies, Impact Group is renowned for its authentic, strategic, collaborative, and entrepreneurial culture. For further details, please visit https://www.impactgrp.com.
About CI Capital Partners
CI Capital Partners LLC is a leading North American private equity firm managing approximately $1.3 billion in assets. With a focus on middle-market companies since its inception in 1993, CI Capital Partners specializes in forming strategic partnerships with experienced management teams and entrepreneurs. The firm’s investment philosophy centers on building substantial businesses through add-on acquisitions, organic growth initiatives, and operational enhancements. To date, CI Capital Partners and its portfolio companies have executed over 395 acquisitions, representing a total enterprise value of approximately $10 billion. CI Capital Partners continues to seek investment opportunities in high-growth middle-market companies. More information about CI Capital Partners can be found at www.cicapllc.com.
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SOURCE CI Capital Partners
