CMX Announces $ 50 Million Series A Investment Led By Morgan
SAN DIEGO, May 26, 2021 (GLOBE NEWSWIRE) – CMX, a leading provider of enterprise quality management software (EQMS), today announced it has completed an investment led by Morgan Stanley Expansion Capital. The funding will be used to accelerate the growth of the business by enabling CMX to expand its team and product offerings and execute its vertical market expansion strategy.
Using automation, data, visibility and insight, the CMX1 platform enables food, retail, hospitality and service companies to digitally transform programs focused on quality, risk, safety and compliance. The platform enables organizations to protect brand reputation, maintain customer trust, and drive operational performance at their sites.
âCMX was founded on the basis of the growing challenges we have faced for large distributed enterprises to protect their brands and manage the quality of their operations and supply chains,â said CMX Founder and CEO , Mitch Porche. âOur single platform mission consolidated the myriad of systems needed to manage quality and mitigate risk into a single, cohesive management platform. We look forward to partnering with Morgan Stanley Expansion Capital to further develop this vision and accelerate our growth. “
CMX customers include some of the world’s most recognized brands including Restaurant Brands International, Inspire Brands, Chick-fil-A, Bloomin ‘Brands, Taco Bell, Raley’s Supermarkets, Hasbro and Bureau Veritas, among others. During the COVID-19 pandemic, the CMX1 platform was instrumental in helping businesses accelerate digital transformation initiatives, comply with new operational standards, and ensure the health and safety of their employees and customers.
âCMX has demonstrated impressive growth and capital efficiency since its inception, and we are delighted to partner with Mitch and his exceptional team to take CMX to the next level. The digital transformation of brand quality and risk management, combined with ever-growing consumer needs and regulatory complexity, is accelerating the demand for world-class solutions. CMX, now trusted by more than 40 leading brands, is at the forefront of technological leadership in the quality, risk and safety assurance market, âsaid Lincoln Isetta, Managing Director of Morgan Stanley Expansion Capital.
âThe high cost of failure for brands has made quality and risk management critically important to businesses today. We believe CMX is well positioned to meet the growing demand for these services as well as the accelerated adoption of enterprise cloud solutions, âadded Nick Nocito, vice president of Morgan Stanley Expansion Capital.
Isetta and Nocito will join CMX’s board of directors from Morgan Stanley Expansion Capital, alongside Adam Aarons and Phil Sanford. Aarons brings over 20 years of business software sales experience, formerly Chief Revenue Officer of Okta (NASDAQ: OKTA) when it went public in 2017. Sanford brings significant experience as a senior executive and Board Member, having previously served as CEO and Owner of The Krystal Company and CEO of Jackson Hewitt Tax Services.
Barnes & Thornburg LLP led the legal effort for the investment group. CMX was represented by consultancy firm Hilliard Advisors, investment bank JMP Securities and law firm Wilson Sonsini Goodrich and Rosati, LLP. Morgan Stanley Private Credit also participated in the fundraising. Morgan Stanley Expansion Capital and Morgan Stanley Private Credit are part of Morgan Stanley Investment Management’s Private Credit & Equity platform.
Leading brands such as Burger King, Arby’s, Taco Bell, Sonic Drive-In, Raley’s Supermarkets, RaceTrac and Hasbro trust CMX’s cloud-based CMX1 enterprise quality management software (EQMS) for help achieve and maintain operational excellence and quality. For more than a decade, CMX has been the market leader with the most comprehensive and user-friendly cloud-based EQMS platform for food and consumer brands. It is the only enterprise solution to effectively combine supply chain quality and operational excellence into a single, fully configurable operating platform. For more information, please visit www.cmx1.com or dial 1-858-997-2140.
About Morgan Stanley Private Credit and Equity
Morgan Stanley Private Credit & Equity, part of Morgan Stanley Investment Management, includes investment strategies providing private capital with a primary focus on mid-market companies. The division’s investments range from minority stakes in growth companies to majority control in more mature companies. The investment strategies focus on high quality companies which are leading players in their sector and which have significant growth potential. Morgan Stanley Private Credit & Equity is uniquely positioned to drive the growth of portfolio companies and add value to our investments by leveraging the Morgan Stanley franchise. For more information on Morgan Stanley Private Credit & Equity, please visit www.morganstanley.com/im.
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