Nashville, TN – April 16, 2010 – Key Principal Partners Corp. (“KPP”), a $1 billion private investment firm, announced the realization of its investment in Western Express, Inc. (Western) through a company-sponsored 144A high-yield debt raise. The Company used the $285 million in proceeds from the transaction to refinance both its senior and subordinated debt and upgrade its truck fleet. Western (www.westernexp.com) is a top 15 truckload carrier, providing dry van, flat bed, dedicated and third party logistics transportation services.
In October 2007, KPP led a $40 million subordinated debt with warrants investment in Western that allowed the Company to acquire its publicly-traded competitor, Smithway Motor Xpress Corp. of Fort Dodge, Iowa (Smithway). The Smithway acquisition enabled Western to significantly expand its flat bed trailer capacity and extend its geographic coverage of the Upper Midwest and Canada.
About Key Principal Partners
Key Principal Partners (“KPP”) is a $1 billion private investment firm that provides expansion capital to profitable middle-market companies with at least $30 million in revenue. The firm has the flexibility to provide any combination of subordinated debt, preferred equity and/or common equity in either non-control (minority ownership) or control (majority ownership) positions. KPP invests between $10 million and $40 million to facilitate the growth, acquisition, refinancing, deleveraging or liquidity needs of private company owners and their management teams. KPP is headquartered in Cleveland, and has additional offices in Greenwich and San Francisco. For additional information, please visit www.keyprincipalpartners.com.