Investment Firm Buys Into Private 3PL Company

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New York-based private equity investor has reached agreement to acquire majority interest in Ozburn-Hessey Logistics, the largest privately held third-party logistics provider in the U.S., OHL said Monday.

Terms of the agreement with the firm Welsh, Carson, Anderson & Stowe were not released.

The deal will allow OHL to continue its operating and growth strategies, which have contributed to double-digit annual revenue growth in each of the past three years, according to Scott McWilliams, the company’s chief executive officer.

A 54-year old company headquartered in Nashville, Tenn., OHL operates 18 warehouses and about 100 total facilities in 20 states. Its supply chain services include fulfillment, service parts management, return logistics, cross docking and pool distribution.

In total, the company manages more than 19 million square feet of warehouse space and also offers comprehensive transportation of parcel, truckload and less-than-truckload shipments.

"Welsh Carson has a strong track record of investing in and managing successful companies in dynamic industries and we are excited to have them as our largest equity partner," McWilliams said.

Welsh, Carson, Anderson & Stowe focuses on investments in the information and business services and health care sectors.

While the existing management team will remain in place, Jim Martell will join OHL’s board as “non-executive” chairman and as an investor, McWilliams said.

Martell, a veteran of more than 20 years in transportation and logistics, is the former CEO of SmartMail Services.