Industry News

WASHINGTON (March 30, 2020) – Diverse-owned private equity firms continue to outperform their benchmarks, according to Examining the Returns 2019: The Financial Returns of Diverse Private Equity Firms, a study released today by the National Association of Investment Companies (NAIC). Despite delivering consistent returns, diverse- and women-owned firms collectively manage only 1.3 percent of the investment industry’s $69 trillion in assets under management. Authored by Meredith Jones, Partner, Head of Emerging Manager Research for Aon Hewitt Investment Consulting, Inc., a leading global professional services firm, and compiled with assistance from KPMG to ensure objectivity and the confidentiality of all individual firm data, the report’s findings are a testament to the skill of diverse managers in sourcing deals and executing their investment strategies. This report is the industry’s only quantitative study measuring the performance of diverse-owned private equity firms. Examining the Returns 2019 updates and confirms the outcomes of its predecessor
The Office of Compliance Inspections and Examinations (OCIE) of the Securities and Exchange Commission (SEC) recently announced its 2020 Examination Priorities reflecting OCIE’s assessment of key risks and trends, market and regulatory developments and policies, findings from past examinations, and information gathered from other sources and regulators. The list of priorities is not exhaustive and will not be the only issues addressed in examinations; however, it provides an insight into the key areas where OCIE intends to focus its limited resources. Grounded in its four pillars – promoting compliance, preventing fraud, identifying and monitoring risk, and informing policy – OCIE will continue examinations into the priority areas that support the SEC’s mission to protect investors, facilitate capital formation, and maintain fair, orderly, and efficient markets. The 2020 exam priorities are organized around 8 themes: RETAIL INVESTORS, INCLUDING SENIORS AND INDIVIDUALS SAVING FOR RETIREMENT INFORMATION SECURITY FINANCIAL TECHNOLOGY (FINTECH) AND INNOVATION, INCLUDING DIGITAL
New York, New York – March 3, 2020 – GenNx360 Capital Partners (“GenNx360”), a New York-based private equity firm, today announced the successful sale of its portfolio company, Midwest Can and Container Specialties, Inc. (“Midwest Can” or “the Company”). GenNx360 acquired Midwest Can in January 2017 as part of its packaging sector investment strategy. Over the past three years, through commercial strategy enhancements, new product initiatives and operational improvements, Midwest Can achieved attractive growth and solidified its position as a market leading manufacturer of portable fuel containers. Monty Yort, the GenNx360 Managing Partner who led the transaction said, “We’re very proud of what we’ve accomplished with management. Our investment in Midwest Can and the achievements attained exemplifies GenNx360’s sourcing and operational differentiators.” Piper Sandler served as the exclusive financial advisor to Midwest Can on this transaction. Winston & Strawn LLP acted as legal counsel to Midwest Can and GenNx360.
New York and San Clemente, CA, March 2, 2020 – Palladium Equity Partners, L.L.C. (along with its affiliates, “Palladium”), a middle market private equity firm with approximately $3 billion in assets under management, today announced that one of its affiliated private equity funds has acquired ALC Schools, LLC and Red Rock Technology, LLC (combined, “ALC” or the “Company”), a mission-driven provider of alternative transportation solutions to school districts in the United States, from affiliates of American Logistics, LLC. ALC offers alternative student transportation solutions for a variety of student populations, including special education, homeless, foster and other in-need students. The Company leverages a proprietary, technology-enabled platform to optimize transportation for school districts across the U.S. ALC has offices and operations centers strategically located in San Clemente, California, Colorado Springs, Colorado, St. George, Utah and Raleigh, North Carolina. “ALC is deeply mission-driven and provides a critical service to the communities in which
Los Angeles, CA – Vicente Capital Partners (VCP), a leading growth equity investment firm, announced today the successful completion of the Vicente Capital Partners Long-Term Appreciation Fund, LP, a continuation vehicle for VCP’s Growth Equity Fund. Vicente Capital Partners Long-Term Appreciation Fund, LP, is comprised of $134 million in new capital commitments, which have funded the purchase of the following five portfolio companies: SMT (www.smt.com), a leading provider of graphics, statistics and video enhancement software and services for live TV sports broadcast networks and sports leagues. Headquartered in Durham, NC. Global LT (www.global-lt.com), a leading provider of outsourced language training, translation, cultural training and mobility solutions. Headquartered in Troy, MI. ITI (www.intellectualtechnologyinc.com), a market leader in motor vehicle agency (DMV) print-ondemand software solutions for issuing registrations, inspections, license plates, and renewing driver licenses. Headquartered in Carlsbad, CA. Archer Education (www.archeredu.com), a recognized leader in post-secondary education recruitment services. Headquartered in
New York, NY – February 19, 2020 –GenNx360 Capital Partners (“GenNx360”), a New York-based private equity firm, is pleased to announce that its portfolio company, Subsea Global Solutions (SGS), a leading global commercial diving company, has acquired the commercial diving division of T&T Salvage Asia, Pte. Ltd. (TTSA).   The acquisition will serve to enhance SGS’ capabilities in Singapore and strengthen its leading position in the Asia-Pacific region. Commenting on the acquisition, Paul Peters, CEO of SGS said, “This is a strategic addition to our recent acquisition of Underwater Contractors Pte. Ltd. Singapore (UWC). Creating a single platform under the SGS umbrella with the most advanced technologies, special repair equipment, and more than 40 skilled diver/technicians will give us the optimum operational efficiency as well as the bench depth to deliver unparalleled value to our customers in this highly competitive market.”   Capt. Satnam Singh Kumar, Managing Director-Asia Pacific for SGS said, “I
Marlborough, MA – Communication Technology Services (CTS), a U.S. provider of wireless infrastructure services, has received an equity investment from Astra Partners I, the flagship fund of Astra Capital Management (Astra), a private equity firm that invests in growth businesses in the communications and technology services sectors. Terms of the transaction were not released. Established in 1990 and based in Marlborough, MA, CTS provides a range of critical wireless products and services, including the design, installation and operation of in-building wireless networks and technology. CTS enables mobility for millions of IoT devices, sports fans, travelers, students and workers to access secure wireless networks at thousands of major stadiums, airports, factories, hospitals, high-rises, campuses and enterprises across North America. CTS Chief Executive Officer John Tegan III said, “The mobility industry is shifting, and cellular coverage within buildings and large facilities is becoming mission-critical. This investment from Astra allows CTS to continue
NEW YORK, Jan. 27, 2020 — Palladium Equity Partners, LLC (“Palladium”), a middle market private equity firm with approximately $3 billion in assets under management, today announced that it has completed the sale of the parent company of DolEx Dollar Express, Inc. (DolEx), to a group of investors including management. DolEx is a leading provider of electronic funds transfer services through approximately 525 branches and over 2,700 agent locations in the U.S., Puerto Rico, U.S. Virgin Islands and Europe. The Duluth, Georgia-based company’s services allow customers to quickly and safely send money to beneficiaries in North America, Latin America, North Africa, Asia, Europe, and the Caribbean through its settlement relationships with thousands of banks, exchange houses and retail locations. DolEx also offers ancillary products and services including installment loans, phone cards, bill payments, money orders, check cashing, and prepaid cards. Justin Green, a Partner of Palladium, said, “We are proud of our partnership with the DolEx team as the company enhanced infrastructure
New York, New York. January 28, 2020 – GenNx360 Capital Partners (“GenNx360”) today announced that its portfolio company, Precision Aviation Group, Inc. (“PAG”), has made its second acquisition in just over 4 months through the purchase of World Aviation Corporation (WAC). This transaction represents the latest step in an aggressive expansion strategy by GenNx360 for PAG. In 2018, GenNx360 took a controlling interest in PAG, a leading provider of products and value-added services to the worldwide aerospace and defense industry.   Toronto-based WAC specializes in the rewind and repair of rotary and static electrical (air and oil-cooled) generators and motor sub-components.  The addition of WAC broadens PAG’s suite of services following the acquisition of Momentum, a global FAA Certified Part 145 Repair Station specializing in Aviation Cockpit Flat Panel Displays. David Mast, President & CEO of PAG stated, “We are excited about the acquisition of WAC which further diversifies PAG’s MRO capabilities by
Santa Monica, CA & Windsor, ON, February 4, 2020 – Clearlake Capital Group, L.P. (together with certain affiliates, “Clearlake”), in partnership with management, today announced that it has agreed to acquire Innovative XCessories & Services LLC (“IXS” or the “Company”) from Olympus Partners. IXS is the leading provider of coating solutions and vehicle upfit services to OEMs, the automotive aftermarket, and diversified industrial end markets. The transaction is expected to close in the first quarter of this year. Terms are not being disclosed. Headquartered in Windsor, Ontario, IXS operates two market-leading divisions, Ground Effects and IXS Coatings. Ground Effects provides automotive OEMs with margin-enhancing vehicle upfit services including the commercial application of spray-on pickup truck bedliners and installation of factory options and special edition modifications. IXS Coatings includes LINE-X, a franchisor of 500+ branded service locations and the industry’s largest aftermarket retailer of spray-on bedliners, as well as Industrial Coatings, which