Primeritus Financial Services, a portfolio company of Kinderhook Industries, has acquired Repo Remarketing, a provider of repossession services.
Repo Remarketing is a collateral repossession, recovery and remarketing company. Services include recovery management, skip tracing and asset liquidation. Customers of the company are primarily credit unions. Repo Remarketing is based near Sacramento in Citrus Heights, CA (www.reporemarketing.com).
In February 2012, Kinderhook formed Primeritus Financial Services in partnership with three automotive finance executives – Chuck Tapp, Phil Hanks and Cam Hitchcock – and acquired the assets of ASR Nationwide, a provider of collateral recovery services to financial institutions. The purchase of Repo Remarketing represents the fourth acquisition for Primeritus. The three earlier acquisitions were Renovo Services (October 2012), M. Davis Company (June 2012), and the platform acquisition of ASR Nationwide (February 2012). Today, Primeritus Financial Services is a national provider of repossession management, remarketing, title services and skip tracing services to the auto finance industry. The company is based in Nashville (www.primeritus.com).
“The acquisition of Repo Remarketing continues Primeritus’ buy-and-build strategy and further positions Primeritus as the leading provider of repossession management services in the US,” said Paul Cifelli, Managing Director at Kinderhook Industries. “Both companies have a reputation for delivering a high level of service that their partners have come to expect and we look forward to continuing to support Primeritus in achieving its’ growth objectives.”
Kinderhook Industries makes control investments in companies with transaction values of $10 million to $75 million in which the firm can achieve financial, operational and growth improvements. Kinderhook pursues private equity investments in non-core divisions of public companies, management buyouts of entrepreneurial-owned businesses, troubled situations and existing small capitalization companies lacking institutional support. The firm, founded in 2003, has $770 million of committed capital and is based in New York (www.kinderhook.com).
“Repo Remarketing has built a streamlined repossession and remarketing platform for credit unions, which is a perfect complement to the services Primeritus provides for banks, captive finance companies and specialty lenders,” said Primeritus Chairman, Cam Hitchcock. “Our acquisition of Repo Remarketing will expand our footprint, especially within the credit union market, where Repo Remarketing has developed a market leading platform.”
Gold Country Advisors, a mid-market financial advisory firm based in Folsom, CA (www.goldcountryadvisors.com), served as a financial advisor to Repo Remarketing.
Financing for the acquisition of Repo Remarketing was provided by Fifth Third Bank.
© 2014 PEPD • Private Equity’s Leading News Magazine • 2-26-14