August 18, 2005 05:02 AM US Pacific Timezone

CaseStack Secures Funding for Acquisitions

SANTA MONICA, Calif.--(BUSINESS WIRE)--Aug. 18, 2005--CaseStack, Inc., the leading provider of complete outsourced logistics solutions to mid-sized consumer packaged goods (CPG) companies, today announced that the Company closed on $20 million in additional financing. The funding will enable CaseStack to supplement its aggressive organic growth with strategic acquisitions of regional warehousing companies focused on the CPG industry.


The latest round was led by new investor Clarity Partners, a Los Angeles-based private equity firm with over $800 million in committed capital. Also participating in this round were existing investors, Kline Hawkes, Blumberg Capital and Garage Technology Ventures.

"Our group is excited about CaseStack's prospects," stated Steve Rader of Clarity Partners. "The management team has created a platform that is ready for continued growth, and we are pleased to provide the financial resources to help take it to the next level."

CaseStack has more than 500 customers, of which over 80% manufacture grocery products, and has strategic partnerships with major retailers including Wal-Mart. The company's proprietary, on-demand logistics software will serve as the platform for the acquisitions and will allow users to book shipments, fulfill orders and track inventory online and in real-time. CaseStack has already become known in the consumer packaged goods industry for its skillful use of technology and collaborative retailer relationships to facilitate high levels of transportation consolidation.

"The logistics industry is highly fragmented with no dominant national leader focusing on the middle market," said CaseStack CEO Daniel Sanker. "There are many remarkable regional players whose clients are requiring more sophisticated technology and a nationwide perspective to their logistics needs." Sanker added, "By acquiring the best of each region, CaseStack plans to take consolidation to a higher level, give clients a national footprint that matches today's retailers, and bring together the best regional logistics providers to create a dominant national player."

"These acquisitions will strengthen the capabilities we can provide our current clients, and we will be more competitive in attracting new customers," Dina Kundar, Vice President of Sales and Marketing at CaseStack, added. "Customers will continue to receive the brand of service they have depended on in the past while reaping the benefits of CaseStack's increased consolidation power."

About CaseStack

CaseStack, Inc. (www.casestack.com) provides logistics outsourcing services to mid-sized consumer packaged goods companies that sell products to retailers, distributors and other manufacturers. CaseStack combines an advanced transportation and warehousing system with proprietary, web-based software to provide end-to-end fulfillment services that enable customers to reap the benefits and economies of a sophisticated, global logistics system without all the infrastructure costs