Leeds Equity Partners has completed the previously announced sale of Chicago-based SeatonCorp to TrueBlue, Inc. (NYSE: TBI) for $310 million. Leeds Equity acquired a majority stake in Seaton in 2005 for $120 million from Seaton’s founders, Michael Miles and Hugh Farrington.
Seaton is a diversified provider of human capital management solutions to Fortune 1,000 companies, colleges and universities. The company operates through several brands, including StaffManagement|SMX, PeopleScout, HRX and StudentScout, to assist its clients in recruiting high quality employees and students that succeed. In 2013, Seaton screened over 4.3 million candidates and recruited more than 250,000 employees into permanent jobs in more than 70 countries.
“Leeds Equity’s value-added, long term approach to partnership supported us in achieving exceptional results for our clients, business partners, and employees,” said Patrick Beharelle, CEO of Seaton. “We look forward to continuing Seaton’s track record of excellence as part of the TrueBlue family of companies.”
Seaton Founder and Chairman Michael Miles said, “I am delighted to have been involved with Seaton throughout its 26-year history. During that time we have assisted clients solve their human capital needs, helped more than one million people find employment and generated an annual organic revenue growth rate over 20%. Nine years ago, we selected Leeds Equity as our partner, and they exceeded our expectations on all levels. We are looking forward to similar results with TrueBlue.”
“We are proud of our nine year partnership with Seaton as it has evolved from a medium-sized, domestic provider of human capital outsourcing solutions to a large, international powerhouse with best-in-class client satisfaction and client retention,” said Carter Harned, Managing Director at Leeds Equity. “The marriage of Seaton and TrueBlue will offer significant new opportunities for their clients and employees,” said Mr. Harned.
During the time of Leeds’s ownership the following milestone’s were achieved.
- Increased revenue 140% to $646 million
- Increased EBITDA 180% to $34 million
- Increased Seaton employment from 9,400 to over 44,000
- Increased annual recruited permanent employees from less than 100,000 to over 250,000 on behalf of its clients
- Broadened the geographic footprint from 2 countries to over 70
- Developed new lines of business, including StudentScout and Seaton Cargo
- Acquired HRX, a leading provider of recruitment process outsourcing solutions in Australia and New Zealand
- Reached industry-leading client retention levels
Today, Seaton is a $600+ million outsourced provider of human capital management that operates under the Staff Management | SMX, PeopleScout, HRX and StudentScout brands. Seaton has grown its employees over the last four years from 15,800 to more than 44,000 and has recruited several hundred thousand permanent employees for its clients. Seaton has been recognized as America’s #1 job creator among privately held companies by Inc. magazine. The company is headquartered in Chicago and operates in over 70 countries.
Leeds Equity Partners manages the largest private equity fund in the United States focused on investments in the education, training and business services industries. Founded in 1993, the firm has raised and managed over $1 billion of committed capital and invested in more than 20 companies. The Board of Advisors of Leeds Equity Partners includes, among others: Chairman General Colin Powell, former Secretary of State, National Security Advisor, and Chairman of the Joint Chiefs of Staff; Dr. Barry Munitz, former Chancellor of the California State University school system and CEO of the J. Paul Getty Trust; Thomas (“Mack”) McLarty III, President of McLarty Associates and former White House Chief of Staff under President William Clinton; Dr. Rod Paige, former Secretary of Education under President George Bush; Richard Riley, former Secretary of Education under President William Clinton and two-term Governor of South Carolina; Tim Fitzpatrick, the former CEO of Sallie Mae Corporation; and Timothy Shriver, Chairman of the Board of the Special Olympics. Leeds Equity Partners is headquartered in New York (www.leedsequity.com).
2014 PEPD • Private Equity’s Leading News Magazine • 7-1-14
