Archives for June 27, 2013

Goldman Sachs Invests in Applied Predictive

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Applied Predictive Technologies, a provider of predictive analytics software and a portfolio company of Accel-KKR, has received a $100 million minority investment from the Merchant Banking Division of Goldman Sachs.

Applied Predictive Technologies (APT) is a cloud-based predictive analytics software company. APT’s Test & Learn software is used by Global 2000 companies to measure the profit impact of advertising, marketing, pricing, merchandising, operations and capital initiatives. Other product lines include Market Basket Analyzer, Network Planner, Merchandise Optimizer, and Performance Manager. Customers include Wal-Mart Stores, Starbucks, Kraft, Anheuser-Busch InBev, Holiday Inn, Staples, Lowe’s, Victoria’s Secret, Food Lion, and Toronto Dominion. APT has offices in London, San Francisco, Taipei and Washington, DC (www.predictivetechnologies.com).

“Over the years, APT has built the industry of robust cause-and-effect predictive analytics. Many of the largest companies in the world, including Walmart, Hilton, Anheuser-Busch InBev, McDonald’s, and over a hundred others, have been successfully using APT’s products to make critical decisions across all key functional areas. As we further expand the breadth and depth of industries we serve across the globe, we are excited to have Goldman Sachs as a valuable partner,” said Anthony Bruce, CEO of APT.

The Goldman Sachs Group is a global investment banking, securities and investment management firm. Goldman Sachs is headquartered in New York (www.gs.com).

Accel-KKR invests primarily in technology business with $15 million to $150 million in revenue. The firm has a particular focus on recapitalizations of family-owned or closely-held private companies; divisional buyouts of larger companies; and going private transactions. Accel-KKR is headquartered in Menlo Park with an additional office in Atlanta (www.accel-kkr.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 6-27-13

EDG Partners Invests in Unity Physician Partners

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EDG Partners has made an investment in Unity Physician Partners, a provider of integrated healthcare clinics focused on whole health and collaborative treatment.

“This investment is representative of EDG’s history of supporting strong management teams and organizations driving innovation that provide patients with high quality care, while reducing costs within the overall healthcare system,” said EDG Partners Managing Director Alan Dahl.

Unity Physician Partners offers primary care-based medical and ancillary healthcare services and employs a holistic approach to improving the quality of patient care and lowering healthcare costs. Unity Physician Partners is based in Nashville (www.unityphysicianpartners.com).

EDG’s investment was completed in partnership with the Nashville Capital Network (NCN) and its Tennessee Angel Fund. “Unity sought partners in EDG and NCN who understand the changing environment of healthcare and what it means to support a growing company,” said Mr. Michael Bailey, CEO of Unity Physician Partners.

EDG Partners invests from $5 million to $25 million of equity in healthcare companies with $10 million to $300 million in revenue and up to $15 million in earnings. The firm was founded in 2004 and has offices in Atlanta, GA and Alexandria, VA (www.edgpartners.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 6-27-13

KPS Capital Partners Closes on Wausau Specialty Papers

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Expera Specialty Solutions, a newly formed portfolio company of KPS Capital Partners, has completed the previously announced acquisition of the specialty paper business of Wausau Paper.

The specialty paper business of Wausau is a manufacturer of paper products used in the tape, pressure-sensitive release liner, coated products, industrial and food packaging sectors. The specialty paper business has approximately 900 employees in two paper mills located in Rhinelander, WI and Mosinee, WI.

KPS Capital Partners is the manager of the KPS Special Situations Funds, a group of private equity funds with over $6 billion of committed capital focused on investing in restructurings, turnarounds and other special situations. The KPS investment strategy targets manufacturing and industrial companies with strong market positions that are going through a period of transition or experiencing operating or financial difficulties. The firm’s portfolio companies have aggregate annual revenues of approximately $6.8 billion, operate 85 manufacturing plants in 25 countries, and employ over 29,000 associates worldwide. KPS Capital Partners is headquartered in New York (www.kpsfund.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 6-27-13

Brown Gibbons Lang Adds Six Analysts to Team

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Brown Gibbons Lang & Company (BGL) has added six new analysts to its investment banking team. “”As the firm continues to grow and build out its sector practice expertise, we need to support those efforts with junior resources,” said Andrew Petryk, managing director and principal.

Brown Gibbons Lang & Company provides corporate finance advisory and transactional services to middle market companies with enterprise values up to $500 million. The firm’s clients include family owned and closely held businesses, private equity sponsors, publicly owned corporations, emerging growth companies, and credit institutions and banks. BGL was founded in 1989 and has offices in Chicago, Cleveland, Salt Lake City, and Seattle (www.bglco.com).

Joining BGL’s Cleveland office as senior analysts are Brian Dora and Mark Nadaud; Connor Greenlees and Maxwell Halsted join the Cleveland office as analysts.

Mr. Dora was previously a corporate finance senior consultant with FTI Consulting where he provided strategic, financial, and operational advice to multi-billion dollar corporations. He received a Bachelor of Business Administration degree from the University of Michigan.

Mr. Nadaud was formerly a senior associate in the Transaction Advisory Services Group of Ernst and Young where he performed financial due diligence for buy-side acquisitions on behalf of private equity and Fortune 500 companies. He received a Master of Science in Accountancy from the University of Notre Dame and a Bachelor of Arts in Finance and General Business from Miami University of Ohio.

Mr. Greenlees recently completed a Master of Engineering and Management degree from Case Western Reserve University. He has a Bachelor of Science in Engineering Management from Miami University of Ohio. He has completed internships with R2C Performance Products, Greenlees Filter, Lumitex, and most recently BGL as an analyst intern.

Mr. Halsted received a Bachelor of Science in Business from the Indiana University Kelley School of Business. He completed internships with Tenaska Marketing Ventures and TD Ameritrade.

Joining BGL’s Chicago office is senior analyst John Saulitis. Mr. Saulitis was formerly an investment banking analyst with Raymond James & Associates. He has a Bachelor of Business Administration in Finance and Economics from the University of Notre Dame.

Andrew Goldfein joins BGL’s Healthcare Transactions Finance Group in Chicago as an analyst. Prior to joining BGL, he was a financial analyst with Mercer Capital. He is a graduate of Vanderbilt University where he received a Bachelor of Arts in Economics and Spanish.

© 2013 PEPD • Private Equity’s Leading News Magazine • 6-27-13

ACG New York Names VRC Valuation Firm of the Year

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Valuation Research Corporation was recognized as the Valuation Firm of the Year by the New York chapter of the Association for Corporate Growth. This was the second time VRC has received this award.

“We are very proud to again be recognized by ACG New York,” said Raymond Weisner, managing director of Valuation Research’s New York office. “Our independence and exclusive focus on valuation only has helped us deliver the quality deal support that this award recognizes.”

The award jury was comprised of M&A professionals from law, accounting, and other firms including John Emanoilidis, Partner and Co-Head of the M&A Practice, Torys LLP; Scott Estill, Partner – Global Financial Services Practice, M&A, Heidrick & Struggles; Steven Goldberg, Partner and National Co-Chair M&A, BakerHostetler; Corey Massella, Partner, Citrin Cooperman; and Alan Wink, Director, EisnerAmper LLP.

“For the third time in 2013 we have been recognized as Valuation Firm of the Year by different organizations and award juries,” said Mr. Weisner. VRC was also named Hedge Fund Valuation Firm of the Year in February by Acquisitions International, and the International Valuation Firm of the Year in May at the International M&A Advisor Awards.

VRC provides valuations for solvency, fairness, business enterprises, intangible assets, capital stock, equity interests, real estate, and fixed assets. Founded in 1975, the firm has offices in Boston, Chicago, Cincinnati, Milwaukee, New York, Pittsburgh, Princeton, San Francisco, and Tampa, as well as international affiliates in Argentina, Australia, Brazil, Canada, China, Germany, Luxembourg, Mexico, Spain, and the United Kingdom (www.valuationresearch.com).

ACG New York consists of over 1,000 members of the investment community, including private equity, investment banking, asset management, accounting, legal and valuation professionals (www.acgnyc.org).

© 2013 PEPD • Private Equity’s Leading News Magazine • 6-27-13

Salus Surpasses $800 Million in Loan Commitments

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Salus Capital Partners, a subsidiary of Harbinger Group, has surpassed $800 million in new loan commitments since launching in January 2012. The $800 million in loan commitments represents approximately 40 transactions in total, with 15 transactions closed and funded since January 2013.

Salus Capital is a provider of senior secured asset-based loans to the small and middle-market across a variety of industries with additional complementary financing throughout the capital structure. Commitments range from $3 million to $35 million with the ability to hold up to $100 million and to syndicate larger transactions. Industries of interest include specialty retail, jewelry, manufacturing, energy services, transportation, retail & wholesale apparel, and health & wellness. Salus Capital is based in Needham, MA (www.saluscapital.com).

“We take great pride in having worked with many wonderful people since forming Salus Capital while assembling a great team and earning the trust of our investors,” said Andrew Moser, President of Salus Capital Partners. “Above all, Salus creates capital solutions to unlock liquidity for our borrowers with a keen focus on tireless execution while maintaining a unique sense of adaptability.”

© 2013 PEPD • Private Equity’s Leading News Magazine • 6-27-13