The Riverside Company has acquired BeneSys, a provider of third-party administration services for employee healthcare and pension benefit programs, from High Street Capital which first invested in BeneSys in September 2005.
“We’re looking forward to supporting BeneSys’ experienced management team as they continue to build BeneSys into the market leading third party administrator servicing Taft-Hartley Multi-Employer, VEBA and municipal plans,” said Riverside Managing Partner Loren Schlachet.
BeneSys is a provider of third-party administration services for employee healthcare and pension benefit programs for Taft-Hartley multiemployer plans. The company services more than 110 clients across the country. BeneSys is based in the Detroit suburb of Troy, MI (www.BeneSysInc.com).
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 330 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).
“By investing in areas such as technology, infrastructure and sales efforts while maintaining BeneSys’ strong culture of client service, we expect BeneSys to continue to build on its momentum in the market,” said Riverside Partner Jack Nestor.
Working with Mr. Schlachet and Mr. Nestor on the transaction for Riverside were Vice President Brad Resnick and Associate Danielle Leimbach. Principal, Origination Scott Gilbertson sourced the opportunity for Riverside.
High Street Capital invests in companies located east of the Rockies that have revenues of up to $100 million and cash flow up to $15 million. Sectors of interest include outsourced business services, niche manufacturing, value-added distribution & logistics; healthcare services; and marketing, legal and insurance services. The firm is based in Chicago (www.HighStreetCapital.com).
THL Credit (www.thl.com/thl-credit) and PNC provided financing for the transaction.
© 2014 PEPD • Private Equity’s Leading News Magazine • 4-1-14