Expanding Partnerships
TDS Logistics was a very profitable and focused company in the automotive logistics industry when Quad-C purchased a 75% ownership interest in the business from the owner / operators in February 1993. TDS had strong relationships with the “Big Three” automotive OEMs at the time of our initial investment, with the Company providing “outbound” logistics services that allowed the OEMs to get autos, parts and accessories to emerging markets in locations such as South America and Asia. Together, Quad-C and management envisioned a business that could expand its customer base beyond the “Big Three” while also extending its service offering to make TDS an even more valuable partner to its customers. Combined with geographic expansion, TDS’ objective was to become a leader in the global market. With management remaining as significant shareholders, our interests were clearly aligned.

Going Global
Quad-C supported TDS as management grew the business from five locations in North America in 1993 to 27 global locations when we sold the business in 2004. The majority of this growth was organic, although TDS did complete a significant acquisition that made the Company a leader in “inbound” logistics, which extended its services offering. At exit, over 50% of the Company’s revenues were derived from European facilities and relationships had been established with Volkswagen, Audi, and BMW, among others, and the “Big Three” relationships had been expanded to include European operations. TDS had also established a presence in China and India which poised the Company for continued strong growth.

Successful Sale
After bringing in a strategic partner for an ownership position in 1996, the business was sold to a private equity group in 2004. Quad-C realized a gain of 7.6x its invested capital in the transaction.