Allied Capital Announces Buyout of Worldwide Express
Allied Capital Corporation announced today that it has completed the buyout of Worldwide Express Inc., (“WWEX”), a leading reseller in the U.S. of DHL express and ground shipping services to the small and medium-sized business market, with a USD 15.7 million subordinated debt and equity investment. Management of WWEX also made a significant debt and equity investment alongside Allied Capital. Third party lenders provided all of the senior financing and the majority of the subordinated debt for the deal.
Worldwide Express is the largest master franchisor of DHL shipping services in the U.S., with approximately 150 franchisees serving over 60,000 small business customers nationwide. The reseller model is used by DHL to penetrate the highly fragmented small and medium-sized business (SMB) market with a direct, high-touch sales strategy. WWEX supports this strategy by providing its franchisees access to over 200 days of sales and marketing training per year, recruiting and operational support, in addition to localized service, customized billing solutions, and pricing discounts to its customers.
Fidus Partners served as advisor to WWEX in the transaction.
