X5 Solutions is a provider of telecommunication services including traditional voice and data, SIP trunking, hosted voice, conferencing, and Ethernet. Customers include private and public businesses, government agencies and wholesale partners across North America. X5 is headquartered in Seattle (www.x5solutions.com).
NewSpring partnered with a new senior executive team to acquire X5. Greg Forrest and Rick Hirsh have joined the company and have decades of executive-level experience having served as founders and CEOs of several large, successful B2B technology service providers and technology integrators.
This acquisition is part of a long-term growth strategy by NewSpring to provide X5 customers broader and more extensive coverage. Under NewSpring ownership there will be significant investment made by X5 to expand its network infrastructure, operational capacity and work force. “The acquisition of X5 was a central first step in NewSpring’s long-term growth strategy,” explained Mr. Forrest, incoming CEO of X5 Solutions. “The goal is to identify strong regional providers like X5 Solutions in a number of NFL-type cities and create a larger geographic carrier footprint to provide expanded communications, cloud and managed services.”
“With our acquisition of X5 Solutions, we see a unique opportunity to build on X5’s reputation for excellence by significantly expanding the company’s operational capacities and broadening the market for its products and services,” said Skip Maner, General Partner, NewSpring Holdings.
NewSpring Holdings focuses on control buyouts and platform builds, targeting companies with between $5 million and $25 million of revenue. Sectors of interest include business process automation, services, software and niche manufacturing/distribution. NewSpring Holdings is part of the NewSpring Capital family of funds, a provider of private equity capital focused in the Mid-Atlantic region with over $1 billion of committed capital. The firm has offices in Radnor, PA; Short Hills, NJ; and Washington, DC (www.newspringcapital.com).
© 2015 PEPD • Private Equity’s Leading News Magazine • 3-25-15