Fluence Automation, a provider of automation systems for the postal and parcel industries, has been acquired by BlueCrest, a portfolio company of Platinum Equity. This marks the successful transition of Fluence from corporate division to independent leader—driven by operational focus, cultural alignment, and investment discipline. The November 1, 2021, transaction was facilitated by Lincoln International, as exclusive financial advisor to Fluence Automation and its shareholders.
Colfax Creek’s Investment Thesis
In 2017, Colfax Creek partnered with Rock River Capital to lead the acquisition of Fluence Automation, a carve-out from Bell & Howell (then a Versa Capital portfolio company). We co-invested alongside Midwest Mezzanine and Tecum Capital, with a shared goal: build an enduring platform in automation by investing in people, infrastructure, and long-term capability.
At acquisition, Fluence had strong technical foundations but was operating as a non-core corporate unit—dependent on shared systems, centralized functions, and legacy processes. We saw an opportunity to create value by helping the business stand on its own and sharpen its commercial focus.
Transformation Highlights
Over the next four years, Fluence transitioned into an independent company with a strong operating base, expanded leadership, and a broader solution set. Key milestones included:
- Complete Stand-Up: Within 12 months, Fluence built out its own ERP, HR, finance, customer service, and distribution operations—achieving full independence from its parent.
- Leadership Depth: A new CFO and enhanced financial infrastructure enabled real-time visibility and disciplined decision-making.
- Strategic Add-On: The acquisition of a small parcel-focused business expanded Fluence’s capabilities in e-commerce automation and added division-level leadership.
- Product Evolution: We supported innovation in print-and-apply systems, vote-by-mail verification, and computer vision—all areas where Fluence earned trust with customers navigating rising volumes and complexity.
- Customer-Centric Shift: We focused on recurring service revenue and market responsiveness—adapting quickly to USPS rate changes and fulfillment trends.
What started as a cost center became a growth platform—with a clear value proposition and a team aligned around doing things the right way.
A Thoughtful Exit
In 2021, Fluence was acquired by BlueCrest to support their broader strategy in parcel sortation and e-commerce fulfillment. While our role in Fluence’s journey concluded with the sale, the business continues to thrive on the foundation we helped build.
About Colfax Creek
Colfax Creek is a private investment firm based in Birmingham, Michigan. We acquire strategically important manufacturing and industrial services businesses with $2–4 million of EBITDA, high free cash flow, and a recurring revenue model. We focus on companies within a drive of Detroit that face ownership succession or addressable operational risks—and we bring the tools, patience, and values to help them thrive for decades to come.
Want to talk? Contact Managing Partner Jason Duzan or visit www.colfaxcreek.com.