it services

Svoboda Acquires eDocument Resources

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Databank IMX, a portfolio company of Svoboda Capital Partners, has acquired eDocument Resources. The acquisition of eDocument Resources is the third add-on acquisition for Databank since Svoboda Capital first invested in the company in January 2011.

eDocument Resources (eDoc) is an IT consulting firm that provides services that improves a company’s enterprise-wide document management services. The company was founded in 1997 and is headquartered in Minneapolis with an additional office in Lincoln, NE (www.edocumentresources.com). eDocument Resources CEO Ken Schempp and CTO Matthew Charlson will join the shareholders and management team at Databank.

“The acquisition of eDoc further cements our leadership position in the enterprise content management industry,” said Chuck Bauer, Co-founder and CEO of DataBank. “eDoc brings an exceptional wealth of human capital, expands our solutions capabilities particularly within the state and local government, insurance and healthcare markets, widens our client base and extends our geographic coverage. We are fortunate to have Ken Schempp and Matt Charlson, co-founders of eDoc, joining the DataBank team to play an integral role in developing our business across the country.”

Databank is a provider of outsourced imaging and information services, including document scanning, indexing, physical and electronic document storage, and software to manage information. The company provides these services to customers in the government, higher education, healthcare, energy and general industrial markets. Databank is headquartered in Beltsville, MD (www.DataBankIMX.com).

Svoboda Capital Partners has over $300 million of capital under management and invests from $10 million to $25 million in value-added distribution and business services companies that have revenues from $10 million to $100 million and EBITDAs from $3 million to $15 million. The firm was founded in 1998 and is based in Chicago (www.svoco.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 8-8-13

Riverside Acquires ProSites

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The Riverside Company has acquired ProSites, a medical and dental website designer. ProSites will be merged with Riverside portfolio company CPASiteSolutions (CPASS), a provider of websites for the accounting industry. Riverside acquired CPASS in November 2011.

ProSites is a medical and dental website designer and Internet marketing services provider that serves over 6,000 doctors nationwide. The company is based in Temecula, CA (www.ProSites.com).

CPASS provides products and services that are used by CPA firms to develop online marketing tools. CPASS offers its software-as-a-service, web design and support to help establish a CPA firm’s online presence through which a firm can interact with existing and prospective customers. The company is based in Winooski, VT (www.cpasitesolutions.com).

The merger of ProSites and CPASS will combine technology and design expertise of both companies to provide online marketing services for dental, medical, and accounting professionals. “This represents a great opportunity to leverage synergies between both organizations while focusing on customer needs to extend market reach,” said Riverside Managing Partner Loren Schalchet.

ProSites Founder and CEO Lance McCollough will serve as the CEO of the combined company, and Brian O’Connell of CPASiteSolutions (CPASS) will remain involved with the merged companies as a consultant.

“We are very pleased to combine CPASS with a company as strong as ProSites,” said Dan Haynes, Riverside Vice President. “We look forward to enhancing the company both organically and through add-on acquisitions.”

Working with Mr. Schlachet and Mr. Haynes on the transaction for Riverside were Associate Elaine Ho, Operating Partner Jeff Tobin, and Operating Executive – Finance, Kim Katzenberger.

Fifth Street Capital provided financing for the transaction and Deloitte & Touche advised Riverside on financial due diligence.

The Riverside Company is a private equity firm focused on the smaller end of the middle market (“SEMM”). Riverside specializes in investing in SEMM companies (those valued up to $250 million) and partners with management teams to build companies through acquisitions and value-added growth. Since 1988, the firm has invested in more than 311 transactions with a total enterprise value of more than $6 billion. The firm’s current portfolio includes more than 75 companies. The Riverside Company is headquartered in New York with additional offices in Atlanta, Chicago, Cleveland, Dallas, Los Angeles, San Francisco, and London (www.riversidecompany.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 7-16-13

Thoma Bravo Acquires VMware Protect Product Family

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LANDesk Software, a provider of systems lifecycle management, endpoint security and IT service management, and a portfolio of Thoma Bravo, has acquired VMware’s Protect product family of IT management solutions, which VMware acquired through its purchase of Shavlik Technologies in 2011.

The addition of what LANDesk is now calling the Shavlik Protect portfolio expands LANDesk’s user-oriented IT management market presence with access to new channels and a product line that complements its existing portfolio of Total User Management solutions.

The Shavlik Protect product line, which enables customers to manage, monitor and secure their IT environments, includes solutions for centralized patch management and asset inventory for Windows and third party applications for both virtual and physical machines; centralized antivirus, power management, and ITScripting.

“We are continuing our successful acquisition strategy to expand our IT management market presence, and with the addition of the Shavlik Protect portfolio, will deliver unmatched user-oriented IT management technologies, products and expertise for our enterprise customers,” said Stephen Daly, CEO of LANDesk Software. “With the Shavlik Protect portfolio, we are also adding an important new go-to-market channel which will allow us to make some of our offerings available for download.”

LANDesk Software is a provider of systems lifecycle management, endpoint security, and IT service management solutions for desktops, servers and mobile devices across the enterprise. LANDesk is headquartered in Salt Lake City (www.landesk.com).

Thoma Bravo provides equity and strategic support to management teams building growing companies. The firm originated the concept of industry consolidation investing, which seeks to create value through the strategic use of acquisitions to accelerate business growth. Thoma Bravo currently manages approximately $4 billion of equity capital. The firm was founded in 1981 and has offices in Chicago and San Francisco (www.thomabravo.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 4-10-13

Ridgemont Equity Partners Invests in Simpleview

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Ridgemont Equity Partners has made an investment in Simpleview, a provider of software and digital marketing services to destination marketing organizations. The management team of Simpleview, led by CEO Ryan George and President Rich Reasons, will continue to run the business and has invested alongside Ridgemont in the transaction.

Simpleview provides a cloud-based technology platform which connects destination marketing organizations to travelers, meeting planners, and local businesses (a destination marketing organization (DMO) promotes a town, city, region, or country in order to increase the number of visitors. It promotes the development and marketing of a destination, focusing on convention sales, tourism marketing, and services). Simpleview’s services include customer relationship management software, content management systems, forecasting and reporting tools, websites, mobile sites, search engine optimization and interactive marketing services. Simpleview works with more than 200 US and international DMOs. The company is headquartered in Tucson, AZ (www.simpleviewinc.com).

“Ridgemont’s investment in Simpleview is a natural addition to our fund,” said George Morgan, a Partner at Ridgemont. “Our team has been actively seeking opportunities to invest in vertically-focused software-as-a-service businesses, and the reputation that Simpleview has built as a forward-thinking market leader, coupled with our financial and operational discipline, will be essential elements in the execution of the company’s promising growth plans.”

Ridgemont Equity Partners (formerly Banc of America Capital Investors) focuses on middle market buyout and growth equity investments of $25 million to $75 million. The firm invests in the following sectors: basic industries and services; energy; healthcare; and telecommunications/media/technology. Ridgemont Equity Partners is headquartered in Charlotte, NC (www.ridgemontep.com).

“Our partnership with Ridgemont enables Simpleview to grow by scaling our already robust service offering and expanding our customer reach, both nationally and globally,” said Ryan George, CEO of Simpleview. “We are very excited to join forces with this experienced investment team and anticipate an even brighter future for our company, the destinations that we serve, and the tourism industry overall.”

ArchPoint Partners (archpointpartners.com) served as exclusive financial advisor to Simpleview and Silicon Valley Bank provided financing for the transaction.

© 2013 PEPD • Private Equity’s Leading News Magazine • 4-9-13

Thomas H. Lee Partners Acquires CompuCom

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Thomas H. Lee Partners has entered into an agreement to acquire CompuCom Systems, a provider of IT services, from Court Square Capital Partners. The transaction is expected to close in the second quarter of 2013.

CompuCom is a North American IT outsourcing company providing infrastructure management services, application services, systems integration and consulting services, as well as the procurement and management of hardware and software to Fortune 1000 companies. CompuCom has more than 11,500 employees and had $2.3 billion of revenue in 2012. The company is headquartered in Dallas (www.compucom.com).

“Companies across all industries are increasingly turning to third parties to enhance how they meet their business service needs, particularly with respect to IT. Meanwhile, technology continues to evolve quickly; organizational compliance requirements are becoming an expensive burden due to the rise of mobile devices and cloud computing; and end-user computing services require integration of an increasing number of components. CompuCom has demonstrated that it has the tools and human capital to help companies to navigate these challenges,” said Soren Oberg, Managing Director at THL.

Citigroup Global Markets, J.P. Morgan, BMO Capital Markets and Jefferies Finance are providing committed financing for the transaction.

Thomas H. Lee Partners, founded in 1974, is one of the oldest private equity investment firms in the United States. Industries of interest include business and information services; consumer products and retail; financial services; health care; industrial; and media & communications. Since its founding, Thomas H. Lee Partners has raised approximately $20 billion of equity capital and invested in more than 100 businesses with an aggregate purchase price of more than $150 billion. The firm is based in Boston (www.thl.com).

“CompuCom has established itself as a clear leader in providing cost-effective IT service management and solutions and is well known for its exemplary customer service. We believe the company is well-positioned to capture additional market share in its traditional areas of strength as it deepens its expansion into new services towers. We look forward to partnering with the talented CompuCom management team to further grow the business and to continue building value,” said Seth Lawry, Managing Director at THL.

Court Square Capital Partners was established as an independent private equity firm by the former members of Citigroup Venture Capital Equity Partners. Court Square is focused primarily on leveraged buyout transactions in the middle market. Sectors of interest include business services, general industrial, healthcare and technology/telecommunications. Court Square currently manages approximately $5.5 billion of capital and is based in New York (www.courtsquare.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 4-9-13

Serent Capital Invests in the Knowland Group

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Serent Capital has made an investment in the Knowland Group, a data and software provider to the hospitality industry.

Knowland’s cloud-based sales and catering services and its competitive intelligence tools help hotels maximize revenue from meeting and conference space. The company serves more than 3,000 hotel customers and 25,000 users globally. Knowland was ranked as the 76th fastest growing company (public or private) in North America by Deloitte in 2011 and the second fastest growing company in the travel industry for both 2009 and 2010 by Inc. Magazine. The company was founded by Michael McKean in 2004 and is headquartered in Washington DC (www.knowlandgroup.com).

“I wanted to be as thoughtful as possible as to the next steps for the business,” said Mr. McKean. “Over the last few years, we met a great number of potential partners. At the end of the day, Serent stood out for a number of reasons. Among other things, Serent strong reputation and experience in the hospitality and technology market was compelling. In addition, Serent’s business-building strategy resonated, particularly given the success they have achieved across other firms in their portfolio.”

Leveraging its principals’ experience investing in the hospitality market, Serent spent considerable time evaluating emerging companies in the hospitality technology sector. “Knowland established itself as a leader in the hospitality technology market by helping hotels maximize revenue from their meeting and conference space by leveraging Knowland’s unique data and technology. Our team is excited about the opportunity to work with Knowland and the great executive team Mike has put together,” said Kevin Frick, co-founder and General Partner of Serent Capital. “Knowland is revolutionizing the group segment of the hospitality industry, and we look forward to working with the team to further that goal.”

Serent Capital has over $600 million in capital under management from a mix of endowments, pension funds, fund-of-funds, and family offices. The firm invests from $10 million to $100 million in service businesses with revenues from $10 million to $100 million and EBITDAs from $3 million to $10 million. Transaction types include buyouts, recapitalizations and growth capital. Serent Capital is based in San Francisco (www.serentcapital.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 2-27-13

Grey Mountain Exits Software Division of Stratix

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Stratix Corporation, a portfolio company of Grey Mountain Partners and a provider of managed mobile IT services, has sold its software division to ServicePower Technologies, a provider of field management software. The sale includes the Stratix field services mobile application development team, intellectual property and existing field service software contracts.

Stratix Corporation provides enterprise mobile software and services to Fortune 1000 companies by designing, developing, delivering and managing its customers’ mobile IT systems and assets. The company is based in Norcross, GA (www.stratixcorp.com).

“The company has grown based on our ability to deliver innovative mobile solutions to our customers. The opportunity to position the Stratix software division with a global market software leader presents a tremendous opportunity for both the employees and software customers,” said Stratix President and CEO Gina Gallo. “The divesture allows Stratix to dedicate 100% focus, resources and investments on delivering managed mobile services to the Fortune 1000.”

ServicePower Technologies is a provider of software and services used in workforce planning, customer service, automated scheduling and dispatch, mobile worker, warranty labor/parts claims, and business intelligence. The company was founded in 1996 and is based in Stockport (near Manchester), UK (www.servicepower.com).

Grey Mountain Partners invests in middle market companies with enterprise values between $30 million and $150 million. The firm invests up to $75 million in control acquisitions in a range of industries. Grey Mountain is currently investing from its second fund, Grey Mountain Partners Fund II, LP. The firm was founded in 2003 and is based in Boulder, CO (www.greymountain.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 2-22-13

Marlin Equity Partners Acquires Vivonet

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Marlin Equity Partners has acquired Vivonet, a cloud-based point-of-sale software and systems provider to the food services sector.

Vivonet’s products and services allow single and multi-location operations to remotely manage workflows, order management and consumer interactions.  Vivonet’s more than 1,000 customers include contract foodservice operators, limited service restaurants, table service restaurants and retail operators.  The company’s flagship product Halo is used for sales and loyalty management, sales analytics and enterprise management. Vivonet is based in Burnaby, British Columbia (www.vivonet.com). 

Marlin Equity Partners invests in businesses that have revenues of $20 million to $1 billion and that that are in the process of undergoing varying degrees of operational, financial or market-driven change. Sectors of interest include technology, healthcare, consumer products and services, business services, manufacturing, aerospace & defense, distribution & logistics, and media.  The firm has more than $1 billion of capital under management and is headquartered in Los Angeles with an additional office in London (www.marlinequity.com). 

© 2013 PEPD • Private Equity’s Leading News Magazine • 2-15-13

Marlin Equity Partners Acquires Verisae

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Verisae, a provider of maintenance, energy, environmental and sustainability management SaaS and cloud-based services, has been acquired by Marlin Equity Partners.

Verisae is a provider of SaaS and cloud-based services that help large retailers in the grocery, food service and specialty retail sectors manage their maintenance, energy, environmental and sustainability programs. The company is based in Minneapolis (www.verisae.com).

“We are excited to partner with the industry’s leading SaaS provider and are committed to building on Verisae’s longstanding relationships with its blue-chip customers. This investment reflects our confidence in Verisae’s ‘Connected Facility’ platform and a management team with a proven track record,” said Jonah Sulak, a principal at Marlin.

Marlin Equity Partners invests in businesses across multiple industries that are in the process of undergoing varying degrees of operational, financial or market-driven change. The firm is based in Los Angeles (www.marlinequity.com).

“We are very excited to be partnering with a strong private equity firm,” said Jerry Dolinsky, Verisae’s CEO. “Marlin brings access to best practices, technology resources and capital, enabling sustained innovation and growth. With Marlin’s backing and Verisae’s comprehensive software offering, industry leadership and world-class client base, we look forward to accelerating our growth and extending our product solutions to service the evolving and rapidly changing needs of the grocery, food service and specialty retail markets.”

© 2013 PEPD • Private Equity’s Leading News Magazine • 1-11-13

PNC Riverarch Capital Acquires LawLogix

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PNC Riverarch Capital has acquired a controlling interest in LawLogix Group, a provider of software as a service solutions and data migration services to law firms, employers and non-profit organizations.

The transaction included equity investments by PNC Riverarch Capital, Akoya Capital and the LawLogix management team.  Dan Siciliano and Brian Taylor, the co-founders of LawLogix, will maintain significant ownership in the company and will remain actively involved in supporting its continued growth.

LawLogix provides electronic I-9 compliance (employee’s identity and legal authorization to accept employment in the United States), E-Verify (an Internet-based system that allows businesses to determine the eligibility of their employees to work in the United States) and immigration case management software to law firms, non-profit organizations, corporations, and universities.  LawLogix was founded in 2000 and is headquartered in Phoenix (www.lawlogix.com).

The transaction for PNC Riverarch Capital was led by Michael Hand, managing director; Michael Rost, managing director; Robert Dolan, senior associate; Brian Blake, analyst; and Kyle Baer, analyst.  Messrs. Hand, Rost and Dolan will represent PNC Riverarch Capital on the LawLogix Board of Directors.

PNC Riverarch Capital is a middle-market private equity group that invests in privately-held companies headquartered throughout North America.  It seeks to invest from $10 million to $50 million per transaction in support of recapitalizations, leveraged and management buyouts, corporate divestitures, and growth financings.  Sectors of interest include outsourced services, specialized manufacturing, and value-added distribution.  Since 1982, PNC Riverarch and its predecessors have provided over $1 billion in capital to more than 100 companies. The firm is based in Pittsburg (www.riverarchcapital.com).  PNC Riverarch Capital is a division of PNC Capital Finance, which is a wholly owned indirect subsidiary of The PNC Financial Services Group (www.pnc.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 1-10-13

BV Investment Partners Acquires INetU

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BV Investment Partners has completed the recapitalization of INetU, a provider of managed hosting and cloud services to enterprise customers.  The investment in INetU will make BV the majority shareholder and is being made in partnership with INetU’s founder and CEO, Dev Chanchani, who will continue as President and CEO and remain a significant shareholder in the company.

“Our new partnership with BV will help accelerate our growth initiatives and we look forward to continuing to provide our customers with world class services and new innovative business cloud solutions,” said Mr. Chanchani.  “BV has a long history of successfully partnering with and growing founder-owned companies, and my senior management team and I look forward to working with them.”

INetU is a managed hosting and cloud services provider delivering secure, high performance and reliable hosting for businesses worldwide.  The company supports many mission critical websites and applications globally across numerous sectors, including eCommerce, healthcare, financial services, software as a service, education, and government.  INetU was founded in 1996 and is headquartered in Allentown, PA (www.inetu.net).

“INetU provides a comprehensive suite of complex hosting services including a number of compliance, security and other specialized solutions.  We believe the rapid growth in data generation and the proliferation of web-based applications and services are changing the way companies address their IT infrastructure needs,” said Louis Bertocci, a Managing Director at BV.  “INetU is truly a value added partner providing mission critical IT services to a large and growing customer base.”

INetU will be the first investment in BV’s latest investment vehicle, BV Fund VIII.  “We are delighted to start the investment program of Fund VIII with INetU,” said Vik Raina, a Managing Partner of BV.  “This investment is consistent with our strategy of partnering with fast growing, founder-owned businesses in the communications and information and business services industries and helping them to achieve their growth plans.”

BV Investment Partners makes investments in US based companies active in the information and business services, communications and media industries. The firm is currently investing its eighth private equity fund and since its founding in 1983, the firm has invested $2.6 billion in 75 companies. BV Investment Partners has offices in Boston and New York (www.bvlp.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 1-9-13

Behrman Acquires Tresys Technology

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Behrman Capital has acquired Tresys Technology, a provider of cybersecurity products, services and solutions to government and commercial customers.

Tresys offers services and products that address computer network defense. The company currently focuses on information sharing, cross domain solutions, content filtering and file sanitization.  Tresys is based in Columbia, MD (www.tresys.com).

General Peter Pace, an Operating Partner at Behrman Capital, will serve as the Chairman of the Tresys Board of Directors.  General Pace served as the 16th Chairman of the Joint Chiefs of Staff, the most senior position in the United States Armed Forces, from September 2005 to October 2007.  As the principal military advisor to the President, the Secretary of Defense, the National Security Council and the Homeland Security Council, General Pace was a principal architect of the nation’s cybersecurity strategy. General Pace is currently the Chairman of Pelican Products and a Director of ILC Industries

“The acquisition of Tresys represents the culmination of our search for a high quality asset in the cybersecurity sector while also building on the firm’s significant expertise in defense and intelligence operations.  A longtime leader in cybersecurity, Tresys has successfully bridged the gap between the high-assurance government and critical infrastructure markets,” said Grant Behrman, Managing Partner of Behrman Capital.  “We are confident that its current capabilities and infrastructure, product portfolio and outstanding customer relationships will provide a strong foundation for substantial operational and financial growth. We are excited to partner with Tresys’ CEO Gary Latham and his team to accelerate the company’s development.”

“Today marks the beginning of an exciting new chapter for our company. Tresys has made great strides in developing the infrastructure and product offering we need to take the company to the next level. Under Behrman’s ownership, we will be able to more fully develop our sales and marketing organization, continue to expand our technology portfolio and achieve the scale to compete as a prime contractor for critical cybersecurity initiatives in government and critical infrastructure,”  said Tresys CEO Gary Latham.  “I want to thank our entire team for everything they have done to get us to this point.  As the company has evolved and expanded over the years, we have worked together to build and maintain a unique culture that serves our customers well and makes Tresys a special place to work.”

Behrman Capital invests in management buyouts, leveraged buildups and recapitalizations of established growth businesses.  The firm’s investments are primarily focused in five industries: health care, specialty manufacturing, business to business outsourcing, defense and information technology. Behrman Capital currently has in excess of $3 billion in assets under management. The firm was founded in 1991 and has offices in New York and San Francisco (www.behrmancap.com).

White Peak Capital, a merchant banking firm with offices in McLean, VA and Columbia, MD (www.wpcap.com) acted as financial advisor to Tresys.  White Peak Capital provides mid-market and large corporate transaction advisory services, and also makes control equity investments in smaller middle market companies with positive operating income.

© 2013 PEPD • Private Equity’s Leading News Magazine • 1-9-13

LLR Partners Invests in Alsbridge

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LLR Partners has made an investment in Alsbridge, a provider of IT benchmarking, outsourcing consulting and network advisory services.

“Alsbridge has exhibited tremendous growth over the past 10 years and is uniquely positioned to be the industry leader in IT and telecom sourcing, benchmarking and transformation services,” said Howard Ross of LLR Partners. “With a very experienced management team at the helm and a proven track record of success, the company is set for continued expansion in a largely untapped market.”

Alsbridge is a consulting firm that provides data-driven benchmarking, outsourcing consulting and network advisory services for CIOs. Services include identifying and engaging vendors for its clients, negotiating best practice terms at fair market prices and improving ongoing vendor management in the IT infrastructure services, network carrier services, hardware and software, application support and development, business processes and cloud services sectors.  Alsbridge, founded in 2003, has 175 employees and is headquartered in Dallas (www.alsbridge.com).

The new financing will be used to support Alsbridge’s continued growth plan, propelled recently by its acquisition of Telwares, a network optimization consulting firm.  MHT Partners, a Dallas-based investment bank (www.mhtpartners.com), served as the exclusive advisor to Alsbridge on both the acquisition of Telwares and the investment from LLR.

“Alsbridge has created an end-to-end solution to help companies realize more strategic value and cost savings from their technology and telecom vendors,” said Ben Trowbridge, founder, Chairman and CEO of Alsbridge. “Our partnership with LLR introduces new relationships, capital and strategic guidance to support that vision and provides Alsbridge the flexibility to quickly take advantage of additional acquisition opportunities and reshape the benchmarking, outsourcing consulting and network advisory landscape as we continue to grow.”

LLR Partners makes both minority and control investments in middle market growth companies. Industries of interest include healthcare; financial and business services; information technology; and education. LLR is currently investing out of its $800 million third fund, LLR III. The firm has over $2 billion of assets under management and is located in Philadelphia (www.llrpartners.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 1-8-13

Frontier Capital Exits Azaleos

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Frontier Capital has sold its portfolio company Azaleos Corporation, a provider of managed email, collaboration and unified communications services, to Avanade, a business technology solutions and managed services provider, and subsidiary of Microsoft Corporation.

Azaleos provides remotely managed services for Microsoft Exchange, SharePoint and Lync, using software to remotely monitor and manage email, collaboration, and unified communications systems. Azaleos is headquartered in Seattle (www.azaleos.com).

“We have truly enjoyed our partnership with Frontier and want to thank them for their support and confidence in us,” said Phil Van Etten, CEO of Azaleos.

Frontier first invested in Charlotte-based M3 Technology Group, Inc. in September 2007 which later merged with Azaleos in March 2009 to create the market leader for remotely managed Microsoft Exchange services.

Frontier Capital invests from $5 million to $25 million in growth equity to technology enabled business services companies with revenues from $5 million to $30 million. The success of the Azaleos transaction highlights Frontier’s expertise in the managed services industry, which accounts for approximately one-third of the firm’s portfolio and includes successful investments in Peak 10 and SecureWorks.  Frontier Capital was founded in 1999 and is based in Charlotte, NC (www.frontiercapital.com).

“It has been a pleasure to work with Phil and the company’s exceptional management team,” said Joel Lanik, Partner of Frontier Capital. “The growth at Azaleos has been remarkable and we’re proud to be a part of it.”

© 2012 PEPD • Private Equity’s Leading News Magazine • 12-19-12

GTCR Acquires OneSource

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Infogroup, a provider of data and multichannel marketing services has sold its OneSource business to Cannondale Investments, a GTCR platform company focused on acquiring data‐enabled information services companies.

OneSource provides business and sales data on millions of companies and executives worldwide to optimize clients’ sales and marketing efforts and assisting with business-to-business research activities.

The company serves technology, software, business and financial services, consulting, and recruitment sectors. OneSource was formerly known as Lotus OneSource and changed its name in 1993. The company’s services are delivered through the Web, CRM integrations, and information portals. OneSource was founded in 1986 and has offices in North America, Europe, Australia, and Asia and is headquartered in Concord, MA (www.onesource.com).

Cannondale Investments was formed by GTCR in July 2011 to acquire data‐enabled information services companies. The company is led by Joseph Ripp and is based in Wilton, CT (www.cannondaleinvestments.com).

GTCR pioneered the investment strategy of identifying and partnering with executives to acquire and build companies through a combination of acquisitions and internal growth. The firm currently has nearly $7 billion in assets under management. Since its inception, GTCR has invested more than $8.5 billion in over 200 companies. The firm was founded in 1980 and is located in Chicago, IL (www.gtcr.com).

Infogroup helps companies increase sales and customer loyalty through its data and multi‐channel digital and offline marketing services. Customers include local businesses to Fortune 100 companies. Infogroup is based in Omaha, NE (www.infogroup.com).

“Infogroup continues to focus on delivering the highest quality data products and services to third parties, leveraging our proprietary data sets,” said Michael Iaccarino, Chairman and CEO, Infogroup. “This sale helps create strategic efficiencies for us as we continue in this direction, while also positioning OneSource for an excellent future with Cannondale Investments.”

The Jordan, Edmiston Group (JEGI), an investment bank for the media, information, marketing, and technology sectors, represented Infogroup in this transaction and acted as its exclusive financial advisor. JEGI is based in New York (www.jegi.com).

© 2012 PEPD • Private Equity’s Leading News Magazine • 10-3-12

Pamlico Capital Invests in Secure-24

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Pamlico Capital and HarbourVest Partners have made a growth equity investment in Secure-24, an application hosting and cloud services company with a focus on ERP applications from SAP and Oracle.

Secure-24 provides managed IT operations, ERP application hosting and cloud computing services to mid-market and Fortune 500 companies in the manufacturing, technology, consumer goods, chemicals, financial services, construction, healthcare, pharmaceuticals and transportation sectors. The company was founded in 2001 and is based in Southfield, MI (www.secure-24.com).

“We focus on making equity investments in growing and profitable industry-leading technology companies. Secure-24 has demonstrated all the characteristics we look for; an experienced and highly capable management team, a strong competitive position, an industry-leading technology platform, and a superior service delivery model. Secure-24’s focus on helping companies increase business value through their IT investments provides them the opportunity for impressive growth in the years ahead,” said Pamlico Partner Scott Stevens.

The co-founders of Secure 24, Volker Straub and Matthias Horch, will retain significant ownership of Secure-24 and will continue to manage the growth of the company. As part of this transaction, Secure-24 has recruited industry veteran Michael Jennings to join the Secure-24 management team. Mr. Jennings was co-founder and CTO of Appshop, a leader in Oracle ERP hosting.

“We are extremely happy to partner with Pamlico because of its track record supporting companies and entrepreneurs as a growth capital provider,” said Mr. Horch, Secure-24 CEO. “Secure-24 has seen tremendous demand for IT infrastructure and application outsourcing services and is poised to continue to grow as companies focus on building strategic partnerships to reduce costs and improve the operation of advanced and complex IT systems. The expertise and resources Pamlico brings to our team will be critical assets to accelerate innovation, growth and market leadership.”

Pamlico Capital, formerly known as Wachovia Capital Partners, was founded in 1988 and has invested in excess of $3.5 billion in over 200 middle market companies since its inception. Pamlico Capital seeks growth equity and buyout investments of up to $100 million alongside management teams in its target industries, which include business & technology services, communications, and healthcare. The firm currently manages over $2 billion in assets and is based in Charlotte, NC (www.pamlicocapital.com).

Oppenheimer & Co. acted as Secure-24’s exclusive financial advisor in connection with the transaction.

© 2012 PEPD • Private Equity’s Leading News Magazine • 9-27-12

Weston Presidio Invests in Digital Intelligence Systems

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Weston Presidio has made a $20 million growth equity investment in Digital Intelligence Systems, a provider of IT professional services.

Digital Intelligence Systems (DISYS) is a provider of IT professional services including IT staffing and consulting, finance and professional services, ERP services, and infrastructure support services. The company was recently recognized by Staffing Industry Analysts as the 2nd fastest-growing IT firm among U.S. companies exceeding $100 million in revenue. In 2012, DISYS is expected to generate over $300 million in revenue and has maintained a 30% annual growth rate over the last five years. The company is based in McLean, VA (www.disys.com).

Weston Presidio has over $3.3 billion under management and invests in management buyouts, growth equity investments, and recapitalizations in a variety of industries, including consumer products and retail, manufacturing and industrial, media, services, and technology. Weston Presidio was founded in 1991 and has offices in Boston and San Francisco (www.westonpresidio.com).

Clearsight Advisors served as the exclusive strategic and financial advisor to Digital Intelligence Systems. Clearsight Advisors provides M&A and capital raising services to growth-oriented business and technology services companies. Clearsight serves the software, services and data markets with vertical expertise in financial technology, public sector technology and education technology. The firm is based in McLean, VA (www.clearsightadvisors.com).

“The Clearsight team delivered on their promise. They brought exceptional industry insight and creativity to the table, and worked tirelessly on our behalf to find DISYS the right financial partner. I could not have picked a better team to advise us on this mission critical transaction”, said Mahfuz Ahmed, CEO of DISYS.

© 2012 PEPD • Private Equity’s Leading News Magazine • 9-20-12

Clearlake Capital Group Acquires NetMotion Wireless

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Clearlake Capital Group has acquired NetMotion, a provider of mobile virtual private network and network performance management software products. Chris Gibbons, a Clearlake Operating Partner and former Chief Information Officer of Microsoft Corporation, will serve as chairman of NetMotion’s board of directors. “For more than a decade, NetMotion has consistently delivered next generation products that meet the evolving needs of mobile workers,” said Mr. Gibbons. “NetMotion’s Mobility and Locality products are scalable platforms that enable superior functionality for a range of customers from local businesses through global enterprises.”

NetMotion Wireless develops software to manage, secure and optimize wireless data deployments for organizations with mobile field workers. The company serves the government, utility, healthcare, public safety, and insurance markets. NetMotion Wireless is headquartered in Seattle (www.netmotionwireless.com).

“NetMotion is the clear market leader with unmatched technology and an exceptional leadership team that has successfully continued to grow its suite of offerings. We look forward to working closely with management to bring NetMotion’s products to many untapped vertical markets and deliver next generation solutions to continue serving the company’s loyal customer base as we seek to enhance value at this exciting company,” said Behdad Eghbali, Founding Partner at Clearlake.

Clearlake invests in special situations such as corporate divestitures, recapitalizations, buyouts, restructurings, turnarounds and minority equity investments. Sectors of interest include business services, communications and media, energy and power, healthcare, manufacturing, retail/consumer and technology. Clearlake was founded in 2006 and is headquartered in New York, NY (www.clearlakecapital.com).

“More than 650,000 licenses of our products have been sold to date, and with increasing demand from new industries and geographies for advanced mobile connectivity and productivity solutions, we believe the company has a very robust market opportunity,” said Bob Hunsberger, the CEO of NetMotion since 2006. “Clearlake shares our vision to accelerate growth by capitalizing on this dynamic period for our industry, and with their partnership and technology sector expertise we are energized for NetMotion’s future.”

Sagent Advisors served as financial advisor to NetMotion. BMO Capital Markets served as financial advisor to Clearlake.

© 2012 PEPD • Private Equity’s Leading News Magazine • 9-11-12