H.I.G. Capital Forms National Product Services, Inc.
MIAMI - December 12, 1999 - H.I.G. Capital, a Miami-based private equity firm with over $750 million of capital under management, has acquired three companies to form National Product Services, Inc. ("NPS"), a premier provider of outsourced merchandising services to major consumer product manufacturers and large retail chains nationwide.
NPS possesses a number of unique capabilities: it is the largest nationwide provider of in-home assembly services; the leading national in-store assembly service firm; and a leading in-store product demonstration and merchandising service provider. Their services assist manufacturers and retailers with in-market execution of merchandising activities. Manufacturers and retailers have begun to outsource their merchandising services needs to third party providers that operate at a lower cost and more effectively execute promotional plans. NPS currently services leading manufacturers and retailers including: Office Depot, Costco, Lowes, Troy Bilt, DeVilbiss, Furniture.Com, and Mindscape.
NPS operates in the retail merchandising services industry which generates domestic revenue of approximately $12 billion. NPS's unique capabilities combined with HIG's significant capital base, causes NPS to stand out among the approximately 10,000 other smaller-to-medium sized firms servicing this industry. NPS is actively seeking additional partners to continue to grow its geographic coverage, breadth of services, and customer relationships.
Rich D'Amico, CEO of NPS indicated: "Manufacturers look to NPS's merchandising services to drive sales growth. Our assembly services increase sales through better in-store product displays, greater customer satisfaction, and fewer returns by assembling difficult-to-assemble products, such as furniture and bicycles, in the customer's home."
NPS is headquartered in Irving, Texas. The company maintains operations in Mountain View, California; Seattle, Washington; and Atlanta, Georgia.
H.I.G. Capital, which targets the acquisition of profitable companies with revenues of up to $250 million, as well as growth capital investments in early stage, technology companies, currently has over 40 investments with combined revenues in excess of $3 billion.