audio visual services

Five Crowns Capital has acquired Verrex Corporation, a provider of audio visual integration services. Thomas Berry, Jr., the third generation of the Berry family to lead the company, will remain as a shareholder and CEO of the company.

Verrex’ services include design and build, installation, integration, maintenance, and onsite staffing. Verrex was founded in 1947 and is headquartered west of Newark in Mountainside, NJ. Additional offices are located in Boston, Houston and Shanghai (www.verrex.com).

“Verrex is the ideal combination of a multigenerational business that has built a strong culture combined with an unusually talented management team,” said Jeffrey Schaffer, founder and managing partner of Five Crowns Capital.  “The company has a long history of providing exceptional services to some of the most demanding multi-national corporations in the world.  Its culture and expertise position the company well for significant future growth, both organically and through strategic acquisitions.”

“Partnering with Five Crowns culminates two years of careful succession planning,” said Mr. Berry. “As I continue to build on my family’s legacy, I am grateful to the prior generation for their leadership and devotion.  I am excited to guide Verrex into the next stage of its growth, and to give these fearless entrepreneurs the retirement they rightly deserve.”

The buy of Verrex by Five Crowns follows the April 2016 acquisition of AVI-SPL, also a provider of audio visual integration services, by H.I.G. Capital. AVI-SPL was formed in 2008 by Silver Lake Partners through the merger of Audio Visual Innovations (AVI) and Signal Perfection Ltd. (SPL).  Today, AVI-SPL has 1,500 employees and 29 offices in the US and 6 internationally through Canada, the UK and the United Arab Emirates. The company is headquartered in Tampa (www.avispl.com).

Five Crowns invests in small and middle market companies that have annual revenues of $20 million to $200 million and EBITDA of $4 million to $40 million.  The firm is industry agnostic but has specific interests in media and entertainment; cosmetics; building materials; technology and electronics; energy; manufacturing; distribution; healthcare; and life sciences. Five Crowns was founded in January 2003 and is headquartered in Newport Beach (www.fivecrownscapital.com).

Debt and equity investors in the transaction include Diamond State Ventures, Aavin Private Equity, MidStates Capital, and Enterprise Bank.

© 2016 Private Equity Professional • 8-16-16

Olympus Partners and Goldman Sachs have acquired PSAV, an event technology and audiovisual company from Kelso & Company. PSAV has been a portfolio company of Kelso since February 2007.

“We are thrilled to complete our acquisition by Olympus Partners and Goldman Sachs,” said Mike McIlwain, President & CEO of PSAV. “We are eager to work with them to continue providing exceptional service and value to more customers in more geographies.”

PSAV is an event technology and audiovisual company that serves planners, producers and customers in the corporate, association and special event markets. Services include computer interfaces, high-definition imaging, rigging, power distribution, component video, special effects, concert sound and lighting, high speed internet access, virtual meetings, and equipment supply. PSAV employs more than 4,750 full-time professionals in 1,300 resorts and hotels throughout the United States, Canada, Mexico, Europe and the Middle East. The company was founded in 1937 when Mr. P. Ray Swank and his wife, Lucille Swank, founded Swank Audio Visuals, a subsidiary of PSAV. The company began in St. Louis as a “portable projection service,” predating technology such as color television, FM radio, 8-tracks and audio tape. PSAV is today headquartered in Long Beach, CA (www.psav.com).

“We are excited to partner with Goldman Sachs to invest in PSAV, a market leader with an unmatched range of event technology and services and a blue chip customer base of hotel clients,” said Manu Bettegowda, Partner at Olympus Partners. “We look forward to working with PSAV’s talented management team to continue to drive the company’s growth.”

Olympus Partners, with $5 billion of capital under management, provides equity capital for middle market management buyouts and for companies needing capital for expansion. Sectors of interest include business services, restaurants, consumer products, healthcare services, and financial services. The firm was founded in 1988 and is based in Stamford, CT (www.olympuspartners.com). The investment in PSAV is Olympus’ first investment out of its$2.3 billion sixth fund.

The Goldman Sachs Group is a global investment banking, securities and investment management firm. Goldman Sachs is headquartered in New York (www.gs.com).

© 2014 PEPD • Private Equity’s Leading News Magazine • 1-27-14