Transaction to Add Nearly 10,000 New Customers and $13 Million in Revenue
STUART, Fla.--(Business Wire)--
NuCO2, the largest supplier in the U.S. of bulk CO2 systems and services for
carbonating fountain beverages, today announced that it has acquired the bulk
CO2 beverage carbonation business, including nearly 10,000 bulk CO2 customer
accounts and related assets, from nexAir. Upon completion, NuCO2 will have a
total of approximately 128,000 accounts. NuCO2 expects the acquisition to add
revenues of approximately $13 million annually.
Based in Memphis, TN, nexAir`s bulk CO2 beverage carbonation business primarily
spans 15 mid-south states and is complementary to NuCO2`s existing markets.
NuCO2 currently has facilities operating in all of nexAir`s service areas. The
majority of nexAir`s employees engaged in its beverage carbonation business are
expected to join NuCO2.
"The acquisition of nexAir`s bulk CO2 beverage carbonation business provides
NuCO2 with a sizable addition to our existing bulk CO2 business and is an
excellent fit with our market position and service capabilities in these
geographies," said Michael E. DeDomenico, NuCO2`s Chairman and CEO. "This
business operates with high quality and service standards that are similar to
those of NuCO2. We expect a smooth and seamless integration of the business into
NuCO2`s existing service platform, as well as for all our customers."
Terms of the acquisition were not disclosed. NuCO2 said the acquisition would be
financed primarily with additional investment provided by Aurora Capital Group
and its affiliates.
About NuCO2
NuCO2 is the leading and only national provider of bulk CO2 products and
services to the U.S. fountain beverage industry. With service locations within
reach of virtually all of the fountain beverage users in the Continental U.S.,
NuCO2`s experienced professionals comprise the largest network of sales and
support specialists in the industry serving national restaurant chains,
convenience stores, theme parks and sports and entertainment complexes, among
others. NuCO2's revenues are largely derived from the installation, maintenance
and rental of bulk CO2 systems and delivery of beverage grade CO2, which are
increasingly replacing high pressure CO2, until now the traditional method for
carbonating fountain beverages. The technology offers consistent quality,
greater ease of operation, and heightened efficiency and safety utilizing
permanently installed on-site cryogenic storage tanks. NuCO2 provides systems
and services that allow its customers to spend more time serving their
customers. Visit NuCO2`s website at www.nuco2.com.
About Aurora Capital Group
On May 28, 2008, affiliates of Aurora Capital Group ("Aurora") completed the
acquisition of NuCO2. Aurora is a Los Angeles-based private equity firm managing
over $2.0 billion that utilizes two distinct investment strategies. Aurora
Equity focuses principally on control-investments in middle-market industrial,
manufacturing and selected service oriented businesses, each with a leading
position in sustainable niches, a strong cash flow profile, and actionable
opportunities for both operational and strategic enhancement. Aurora Resurgence
invests in debt and equity securities of middle-market companies and targets
complex situations that are created by operational or financial challenges
either within a company or a broader industry. For more information about Aurora
Capital Group, visit www.auroracap.com or www.aurorares.com.
NuCO2
Michael E. DeDomenico, 772-221-1754
Chairman and CEO
www.nuco2.com
investor_relations@nuco2.com
or
For Aurora Capital Group:
Joele Frank, Wilkinson Brimmer Katcher
Matthew Sherman, 212-355-4449
Copyright Business Wire 2009
