U.S – Levine Leichtman Capital Partners (LLCP), a Los Angeles-based private equity firm, has sold its portfolio company FlexXray, the leading X-ray inspection and recovery service provider for the food industry, to Warburg Pincus, a global growth investor and Tilia Holdings, a Chicago-based private investment firm focused exclusively on the food and nutrition supply chain.
The service provider assists food manufacturers with regulatory compliance and food safety matters by detecting and eliminating foreign contaminants from food.
Founded in 2001, hundreds of manufacturing plants in North America count on FlexXray’s proficiency and customer service to salvage valuable products in case of contamination incidences during the day-to-day manufacturing process.
“FlexXray provides a best-in-class solution to protect customer brands, retailer relationships and most importantly, consumer health and safety. This investment represents a significant opportunity to grow the business, while creating important environmental benefits for our customers by reducing food waste,
“We believe that Warburg Pincus and Tilia are the ideal partners to support us in our next chapter and look forward to leveraging their global network and broad resources in the food safety space,” said Randy Jesberg, CEO, FlexXray.
Warburg Pincus is an investor in food safety and food supply chain services, with current and historical investments in Certified Laboratories, Hygiena, GA Foods, SPINs and Aramark, among others.
Tilia is also an investor in the food and nutrition supply chain with current investments in Refrig-It, Certified Laboratories, Universal Pure, Proven Partners Group, Ellison Bakery, and historical investment in Safe Foods International Holdings.
“FlexXray provides a best-in-class solution to protect customer brands, retailer relationships and most importantly, consumer health and safety.”Randy Jesberg, CEO, FlexXray
“With the increased compliance through USDA and FDA regulations and focus on minimizing food waste, FlexXray is experiencing rapid market adoption and has significant growth opportunities ahead,
“The company’s mission-critical services, ensuring food product safety, is backed by an incredible management team and strong customer service,” said Stephanie Geveda, managing director, head of business services, Warburg Pincus.
The Principal, Warbug Pincus, Michael Pan expressed the company’s thrill to partner with Randy and the FlexXray team, alongside Tilia, to build upon FlexXray’s history of success to enhance and expand their offerings in the dynamic and growing market.
FlexXray is well-positioned to meet the growing consumer demand for a safe and environmentally-friendly food supply chain.
Johannes Burlin, co-CEO, Tilia highlighted that the investment in FlexXray reflects their ongoing mission to invest in companies that help make the food supply chain safer for customers and ultimately, the end consumer.
“We are excited to partner with Warburg Pincus to bring this investment to life and extend the growth trajectory for the company,” he said.