NewSpring Holdings Successfully Completes Series of Strategic Acquisitions with Plans for Future Growth

NewSpring Holdings

Radnor, PA – March 14, 2016 – NewSpring Capital’s dedicated buy and build strategy, NewSpring Holdings (“NewSpring”), announced today that two of its portfolio companies, X5 Solutions (“X5”) and USPack Logistics (“USPack”), have successfully completed a series of strategic acquisitions.

X5, a communications company focused on providing a complete suite of telecommunications solutions, has completed its acquisition of Troy, NY-based CornerStone Telephone Company (“CornerStone”) and San Antonio, TX-based NovaTel Ltd. (“NovaTel”), strategically expanding the company’s geographic operations.

USPack, a national leading logistics company focused on providing same-day and next-day delivery services to Fortune 500 corporations across the U.S., has completed its acquisition of Parsippany, NJ-based Flash Courier and Transportation (“Flash Courier”), strategically reinforcing the company’s eastern operations.

NewSpring Holdings has provided significant financial backing for both X5 and USPack to accelerate continued growth through selective M&A activity.  NovaTel and CornerStone are the first of these strategic acquisitions for X5, helping to advance the company’s position as an integrated national communications provider focused on delivering cloud services to mid-sized businesses and extending its geographic footprint, having nearly tripled in size. 

"This is the next step in X5’s evolution toward building a national presence,” explained X5 CEO, Greg Forrest. “We continue to look for opportunities like these to transform our business from a legacy telco to a communications company that adds value through technology. We’re focused on leveraging our growing network and finding opportunities to create high-value services we can deliver on top of the network.  NewSpring has been a tremendous asset in helping us source, execute and provide operational support on these transactions.”

“X5 has been able to successfully capitalize on the company’s strategic growth initiatives to help provide their customers with broader, more extensive coverage with consistent world-class service levels,” added Skip Maner, NewSpring General Partner.

Flash Courier is the second strategic acquisition for USPack after acquiring  Alexandria, VA-based Washington Courier in September 2015.  Flash complements USPack’s technology platform and existing geographic reach, bringing its total network of drivers to over 750.

USPack’s Peter Glazman commented, "USPack is proud to welcome Flash Courier.  The company’s highly-valued customer base and outstanding reputation will allow USPack to continue to provide quality services to our customers, while expanding and growing our business.  The team at NewSpring has been a great strategic partner in supporting our infrastructure and M&A activities with both human and financial capital.”

NewSpring General Partner, Jim Ashton, added, “Both USPack and X5 have a tremendous focus on customer service.  Our future plans involve growth through additional consolidation, allowing USPack to continue to provide best-in-class services to their customers.”

About X5 Solutions

X5 Solutions is backed by more than two decades of experience in the telecom industry. The company has navigated the changing landscape of providers and communication technologies to deliver diverse solutions to private and public businesses, government agencies and wholesale partners across North America. X5 Solutions’ customer-focused approach and ability to leverage carrier diversity to customize solutions has fueled its success. X5 Solutions offers a complete suite of solutions, including Traditional Voice and Data Services, SIP Trunking, Hosted Voice, Conferencing, Unified Communications and Ethernet. For more information, visit www.x5solutions.com.

About USPack Logistics

Founded in 1986 by Peter Glazman, USPack provides same-day delivery services and serves the rapidly growing last-mile segment of the logistics industry for industry leading customers.  USPack utilizes an asset-light model with approximately 650 independent contractor drivers.  Mr. Glazman has pursued a strategy of measured growth through calculated acquisitions and careful investment decisions.  Today, USPack combines the personalized, hands-on service of a small business with the cutting-edge technology and capabilities of the world’s leading delivery services. For more information, visit www.gouspack.com.

About CornerStone Telephone Company

CornerStone Telephone Company is an advanced communications solutions provider, specializing in services for business and enterprise customers. CornerStone has more than 50,000 access lines, providing local and long distance telephone service, high-speed Internet access, VoIP, cloud computing, data center services and business telephone systems. The company services customers around the globe. Established in 2002, CornerStone has more than 110 employees and 10,000 customers. The company is headquartered in Troy, NY with offices in Oneonta, New York City, Poughkeepsie and Richmond, Massachusetts. For more information, visit www.cstel.com.

About NovaTel Ltd.

As a consistent leader in the telecommunications industry for over 15 years, NovaTel is relied on by application providers, contact centers, carriers and Fortune 500 enterprises across North America, APAC, CALA, and EMEA. NovaTel provides an extensive range of products, industry know-how and eagerness to tackle the most complex and challenging requirements. Our engineering and support teams are telecom experts that take great pride in delivering the industry’s best customer service. NovaTel is headquartered in San Antonio, TX. For more information, visit www.novatelnetworks.com.

About Flash Courier and Transportation

Headquartered in Parsippany, NJ, Flash Courier and Transportation has operated in the greater Tri-State area with sustained excellence in on-time critical delivery for over 25 years.  In 1983, Flash Courier quickly established itself as a leader in the local courier industry while growing in to a fully operational Global Logistics Company.  Operational as a 24/7/365 service, the Flash delivery network is one of the largest serving the Tri-State region.