In 2014, Warburg Pincus invested in TriMark, the largest food service equipment and supplies (FES) distributor in North America, providing virtually all types of non-food products used by restaurants and other food service operators in addition to a suite of value-added services. The company served a highly diversified customer base with sole-source or majority share-of-wallet position with most of its customers. When Warburg Pincus partnered with TriMark, the firm saw an opportunity to invest behind the market leader in FES distribution that was operated by an experienced management team and was well positioned as an acquisition platform in a highly fragmented industry. Over the course of the firm’s investment, Warburg Pincus worked closely with management to meaningfully increase the success of the business. TriMark added a number of seasoned professionals to the management team and created a number of new positions needed to efficiently manage the growing business. In addition, TriMark implemented a leading enterprise resource planning software solution and engaged in a pricing optimization initiative to improve margins and productivity across the company. Further driving efficiency, TriMark consolidated a number of divisions across North America and added capacity to support future growth. Finally, TriMark completed three add-on acquisitions, Hockenbergs, Adams-Burch and R.W. Smith & Co, each of which meaningfully strengthened TriMark’s position across key new or under-penetrated geographic markets in North America. Warburg Pincus exited TriMark in 2017.
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