Falfurrias to Sell Dorsey Wright to NASDAQ
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Falfurrias to Sell Dorsey Wright to NASDAQ

dorsey wright nf1Falfurrias Capital Partners has signed an agreement to sell its ownership interest in Dorsey, Wright & Associates, a provider of investment data analytics, to NASDAQ for $225 million.  The transaction is expected to close in the first quarter of 2015.

Dorsey Wright & Associates (DWA) provides technical investment research and money management products to stock brokers, wealth managers, and individual investors.  DWA’s research services are based on “Point and Figure” technical analysis and are provided to clients on a subscription basis. DWA’s research covers more than 7,000 stocks, 14,000 mutual funds, 20,000 international equities, and over 1,000 ETFs. Additionally, DWA has $1.7 billion in assets under management through DWA ETFs, mutual funds, variable annuity trusts, and separately managed accounts. DWA was founded in 1987 and is headquartered in Richmond, VA. The firm also has a full-service money management office in Pasadena, CA (www.dorseywright.com).

Falfurrias Capital Partners, founded by former Bank of America Chairman and CEO Hugh McColl Jr. and former Bank of America CFO Marc Oken, invested in Dorsey Wright in 2011 as part of a strategy of leveraging the firm’s expertise and contacts in the financial services industry. With the sale, Falfurrias successfully exits the last platform investment backed by the firm’s initial fund, Falfurrias Capital Partners I.

marc oken nf1“Falfurrias Capital Partners invested in Dorsey Wright because we believed the firm’s track record, innovative culture, and superb management team – led since our investment by Tom Dorsey and Tammy Derosier – all added up to tremendous growth potential,” said Mr. Oken,  managing partner of Falfurrias Capital Partners. “We are excited for Dorsey Wright and pleased with this successful outcome for our investors.”

Falfurrias Capital Partners makes equity investments of at least $3 million in companies with revenues in excess of $10 million and EBITDAs in excess of $2 million. Industries of interest include financial services; consumer products; health care; building products; diversified manufacturing; business services; education, training, and information services; and infrastructure services.  The firm is based in Charlotte, NC (www.falfurriascapital.com).

“Falfurrias has been an excellent partner in facilitating Dorsey Wright’s growth, from both a strategic and a financial perspective,” said Mr. Dorsey. “The Falfurrias team worked closely with our senior management to create value and position Dorsey Wright for the future.”

NASDAQ is a provider of trading, exchange technology, information and public company services and lists more than 3,500 companies with a market value of over $8.8 trillion (www.nasdaq.com).

Wells Fargo Securities provided financial advice to Falfurrias and McGuireWoods provided legal advice.

© 2015 PEPD • Private Equity’s Leading News Magazine • 1-7-15

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