The Riverside Company has exited its investment in PROFITsystems, a provider of software used in the retail furniture industry. Riverside first invested in PROFITsystems in 2006.
“Thanks to a lot of hard work by management and Riverside, PROFITsystems has become the clear leader in its niche with a deeply loyal customer base,” said Riverside Principal Brian Sauer. “PROFITsystems has been a success story with Riverside and the company is ready for more great things in the future.”
PROFITsystems is a provider of Windows-based software and other services used in the retail furniture industry. The company’s core product, PROFITprofessional, allows clients in the retail furniture industry to manage their accounting systems, financial reporting and planning, customer service, inventory, purchase orders, sales tickets and analysis, and other functions. PROFITsystems software is the most widely used retail furniture and hard goods software in the US and Canada. The company is based in Colorado Springs, CO (www.profitsystems.com).
During its ownership of PROFITsystems, The Riverside Company completed one add-on acquisition with the buy of Easy Chair Software (www.easychairsoftware.com) in January 2008.
“We’re really proud of what we accomplished working with the great management team at PROFITsystems,” said Riverside Managing Partner Loren Schlachet. “In the face of headwinds, we were able to keep the company healthy, develop new products, complete an add-on acquisition, and grow its customer base.”
Working with Mr. Schlachet and Mr. Sauer on the transaction for Riverside were Operating Partner Jeff Goodman, Associate Elaine Ho and Senior Financial Analyst Bryan Salisbury. Origination Principal Amy Margolis helped facilitate the sale for Riverside.
St. Charles Capital acted as exclusive financial advisor to Riverside, while BDO provided accounting and tax support and Jones Day provided legal counsel.
The Riverside Company is focused on the smaller end of the middle market and invests in businesses valued at up to $250 million (€200 million in Europe). Since 1988, the firm has invested in more than 320 transactions with a total enterprise value of more than $6 billion. The firm’s current portfolio includes more than 70 companies. The Riverside Company is headquartered in New York with additional offices in Atlanta, Chicago, Cleveland, Dallas, Los Angeles, San Francisco, and London (www.riversidecompany.com).
© 2013 PEPD • Private Equity’s Leading News Magazine • 11-12-13
