Code
Hennessy & Simmons LLC (“CHS”) today announced
the sale of THARCO Holdings, Inc. (“Tharco”),
a portfolio investment of Code Hennessy & Simmons III,
L.P., to an entity controlled by Tricor Pacific Capital, Inc.
Tharco is the premier independent manufacturer
and distributor of corrugated and engineered foam packaging
solutions in the Western United States. With a network of
nine plants and distribution centers, Tharco is the leading
supplier of stock boxes in its markets and a market leader
in the design and manufacture of custom corrugated and combined
corrugated, foam and plastic packaging. Tharco sells to more
than 11,000 active customers and serves an estimated 40,000
end users. The company is headquartered in San Lorenzo, California.
CHS and the family group who founded and
managed Tharco recapitalized the company in June, 1998, resulting
in majority ownership for CHS. “Our investment strategy
was to extend Tharco’s profitable, niche focus in the
highly competitive corrugated industry and to generate incremental
profitability through operating improvements,” said
David Hawkins, Partner at CHS. “The strategy proved
to be very successful. Thanks to outstanding execution by
the leadership team, Tharco successfully managed through an
unprecedented three-year decline in the corrugated industry
and implemented an aggressive strategic plan to position Tharco
for continued growth.”
Bo
Fears, Chief Executive Officer of Tharco, commented, "CHS
provided hands-on, constructive oversight through three distinct
phases of Tharco’s recent history: rapid growth through
2000; retrenchment due to general economic, regional and industry
weakness during 2001 and 2002; and rebuilding since 2003.
In each phase, CHS helped Tharco identify critical priorities
and execute the appropriate strategies. Today, we have world
class talent in every area of our operation and are poised
for continued success.”
For more information on Tharco, please visit
the company's Web site at www.tharco.com.
CHS is a Chicago-based private equity firm
specializing in private equity investments and recapitalizations
of middle market companies in partnership with management.
CHS has formed five private equity funds and currently manages
over $2.5 billion of capital. For more information on CHS,
please visit CHS' Web site at www.chsonline.com. |