Monthly Archives: March 2008

Edgewater Announces Portfolio Company Exit in FishNet Security

CHICAGO – Edgewater Growth Capital Partners has announced the recent realization of its investment in FishNet Security, which is a leading information technology security solutions provider. Through its investment in Jan. 2005, Edgewater partnered with the FishNet management to accelerate organic growth opportunities and assist the company with targeted acquisitions.

Since that time, the company expanded its footprint from seven offices in the Midwest to a nationwide network of 25 offices. During the partnership, FishNet added depth to its management team, completed and integrated two strategic acquisitions and increased its revenue at a compound annual growth rate of 68 percent while more than tripling EBITDA.

FishNet is another example of Edgewater’s investment strategy. Through three years of organic growth and strategic acquisitions, the company successfully extended its leadership position within the enterprise network security market and allowed Edgewater and the other owners to realize a significant return.

The Edgewater Funds is a Chicago-based private equity firm with more than $1 billion under management.

Through Edgewater Growth Capital Partners II, the firm partners with management to help accelerate business growth. Edgewater focuses on funding high-quality, middle-market companies where it can add substantial value through capital, experience and its broad network. Edgewater leverages the experiences of its partners who have distinguished themselves as successful CEOs and business leaders.

Genesis Financial Solutions Closes Growth Equity Investment from The Edgewater Funds

PORTLAND, Ore.–(BUSINESS WIRE)–Genesis Financial Solutions, Inc. (“Genesis”), announced that it recently completed a growth equity investment from The Edgewater Funds (“Edgewater”). Genesis is a rapidly growing specialty consumer finance company focused on the acquisition and origination of credit cards and student loans. Genesis partners with banks, career colleges and other consumer-oriented organizations to create customized lending programs.

Proceeds from the investment will be used to fund new consumer receivables. Genesis intends to concentrate on building its credit card and student loan portfolios. Since its founding in 2001, Genesis has developed a strong underwriting and servicing platform in the non-prime unsecured consumer credit market. The company currently employs 160 people in Portland, Oregon, where it manages and services over $2 billion in consumer receivables.

“We are delighted to have closed this round of funding from Edgewater,” commented Bruce Weinstein, President and CFO of Genesis. “In this period of uncertain economic conditions and disrupted credit markets, we believe there are strong opportunities for our business. Because of our strong market presence and rising demand for our lending programs, the new equity will accelerate our growth.” Added Irving Levin, CEO of Genesis, “This investment is particularly timely because of our significant opportunities in making private tuition loans for career college students.”

Gregory K. Jones, Partner at Edgewater, said, “The current state of the consumer credit market presents an opportunity for Genesis to build new relationships and deploy capital at attractive levels. Genesis utilizes innovative, consumer-friendly financial products. We are excited about partnering with such a high quality management team and we look forward to helping grow their business.”

About Genesis Financial Solutions, Inc. 

Genesis Financial Solutions, Inc. is a provider of specialty consumer finance solutions. The company specializes in acquiring and originating credit cards and student loans. Genesis manages and services subprime unsecured consumer receivables throughout the credit lifecycle, from performing through charged-off accounts. Genesis differentiates itself through sophisticated risk management, program delivery and product innovation. Genesis was founded in 2001 and is located in Portland, Oregon. For more information, visit http://www.genesis-fs.com/.