Edgewater Growth Capital Partners III, L.P. is pleased to announce that its portfolio company BH Solutions, LLC (“BHS”) has recently acquired PPM Information Services, Inc. (“PPMIS” or the “Company”). BHS offers a growing suite of revenue cycle management services to large hospital and physician groups. PPMIS provides software and services for claims processing, collections management, reporting, patient scheduling, registration, coding, and financial management. The Company is an attractive addition to BHS’s Physician Services division, offering superior software capabilities, lower costs and an expanded customer base for the cross selling of other RCM services.
PPMIS was founded in 1996 and has operated as a wholly owned subsidiary of PPM Services Inc., a medical malpractice insurance company. PPMIS has developed a highly respected national reputation for innovation and quality. The Company has over 200 clients and 9,200 users including physician groups, medical billing companies, ambulatory surgical centers and hospitals. PPMIS will continue to be based in Mission, Kansas.
About Bolder Healthcare Solutions
Bolder Healthcare Solutions, LLC provides revenue cycle management (“RCM”) services to health care providers including hospitals, ambulatory surgery centers and physician groups. BHS employs over 800 people serving 450 client facilities across 26 states. In addition to its domestic operations, BHS manages two wholly owned operation centers in India. BHS is led by its CEO Mike Shea who previously was the Founder and CEO of MedAssist, a leading RCM company that served over 900 hospitals across the United States. BHS is actively building its portfolio of RCM services both organically and by acquisition. For additional information, contact Mike Shea at firstname.lastname@example.org.
Edgewater Growth Capital Partners III, L.P. (“Edgewater”) is pleased to announce its recent investment in Brilliance Financial Technology (“Brilliance” or the “Company”). Brilliance is a software business that provides Risk-based Pricing and Customer Profitability measurement solutions to the banking industry commercial loan portfolios. The Company’s clients include some of the world’s largest financial institutions as they manage their global loan processes in the face of increasing risk and regulations. Brilliance is headquartered in Sydney, Australia with additional offices in New York and San Francisco and serves clients in North America, Europe, Australia, and Africa.
Brilliance is the first investment under a newly formed holding company called Implement Holdings, LLC. Implement Holdings is pursuing acquisitions of financial technology companies which enable financial institutions to improve operations and profitability in the areas of risk management, pricing, compliance, decision support, portfolio rebalancing and many others. Replacing outdated legacy information systems is expected to be a major priority for banks as they seek to increase revenues, reduce costs and improve regulatory compliance.
Industrial Service Solutions (“ISS”), a portfolio company of Edgewater Growth Capital Partners III, L.P. is pleased to announce that it has recently completed four acquisitions: Precision Electric Co., Inc. (“Precision Electric”), Integrated Process Technologies, Inc. (“IPT”), Pro Inspection, Inc. (“Pro Inspection”) and M&L Valve Service, Inc. (“M&L Valve”). Each of these companies provides specialty industrial services to its client base and has built a reputation of quality, responsiveness and superior technical expertise. These companies will augment the ISS platform with additional products and services, talented personnel and physical assets in new territories.
- Precision Electric sells, services and repairs all makes and models of electric motors, pumps, controls and related equipment across the Southwestern U.S. The company is capable of providing repair or replacement solutions across all major motor and pump brands and models.
- IPT distributes valves, actuators, pumps, cryogenics, controls, filtration systems, chemical storage systems and a variety of other process equipment. The company also provides value-added services including in-house engineering, shop assembly and testing capabilities.
- Pro Inspection provides non-destructive testing and inspection of pipes, weld joints, compressors, pressure vessels and other fabricated products and equipment used by companies in various industrial and commercial markets.
- M&L Valve specializes in valve distribution, repair and field services primarily for customers in the oil & gas and power generation industries.
ISS is building a national provider of industrial field services, repair and refurbishment of equipment found in most industrial and manufacturing facilities in North America. This market is extremely fragmented, making it difficult for major industrial companies to find a reliable single source of repair and maintenance services for mission critical equipment. Equipment in which ISS has particular expertise includes valves, actuators, motors/generators, pumps and compressors that are critical to maintaining plant operations and minimizing downtime. Since inception, ISS completed fifteen acquisitions and maintains over 25 service and distribution locations across the U.S. with over 500 skilled technicians. This combination of human and physical assets enables ISS to offer a broad and valuable set of solutions to its expansive customer base. The company maintains a robust pipeline of complementary companies that should continue the current pace of expansion and profitable growth.
Edgewater Growth Capital Partners III, L.P. (“Edgewater” or the “Fund”) is pleased to announce its recent investment in Vertical Bridge Holdings, LLC (“Vertical Bridge” or the “Company”). Vertical Bridge is an owner and manager of wireless communications infrastructure. Edgewater is partnering with the same management team that grew a very similar business, Global Tower Partners (“GTP”), from its inception in 2002 to the largest private operator of wireless communications infrastructure in North America. GTP was ultimately sold to American Tower in 2013 for $4.8 billion.
Vertical Bridge is executing the same investment thesis that its management team followed in building GTP. The Company is acquiring cell towers and rooftop cell sites to build out its national mobile communications network. The rapid growth of wireless data usage is leading to greater network demand from mobile carriers who are Vertical Bridge’s core customers. We believe Vertical Bridge represents an excellent ground floor opportunity to partner with a proven, world class management team in an industry sector with strong growth trajectory.
Edgewater Growth Capital Partners III, L.P. (“Edgewater”) is pleased to announce the sale of its portfolio company Amptek, Inc. Amptek is the market leader in producing detectors using x-ray fluorescence (XRF) used to identify the composition of materials within the metal, environmental monitoring, petrochemical, semiconductor and research markets. Edgewater acquired Amptek in December 2011.
Amptek was recently sold to Ametek, Inc., a publicly traded global manufacturer of electronic instrument with over 120 manufacturing locations around the world. Ametek acquired Amptek as a strategic addition to its Materials Analysis Division. Edgewater would like to acknowledge the excellent management team who led Amptek under Edgewater’s ownership through to this successful transaction.
Edgewater Growth Capital Partners III, L.P. (“Edgewater” or the “Fund”) is pleased to announce the recent acquisition of NetCentrics as a significant addition to the Fund’s cybersecurity platform Haystax Technology (“Haystax”). NetCentrics (“NetCentrics” or the “Company”) provides cybersecurity solutions to the Department of Defense, Department of Homeland Security, DARPA and other federal agencies. The Company is based in Herndon, Virginia and has over 280 employees.
Edgewater acquired NetCentrics to extend the range of critical capabilities at Haystax, including enterprise cybersecurity and IT network integration, while increasing access to additional new government service programs. NetCentrics is expected to be highly synergistic with Haystax’ first two acquisitions, FlexPoint and Digital Sandbox, through cross selling and bundling of services within major customer contracts.
The Haystax platform is well positioned to benefit from the increasing demand for cybersecurity products and services within both the governmental and private sectors.
Edgewater Growth Capital Partners III, L.P. (“Edgewater”) is pleased to announce its recent investment in State National Companies, Inc. (“State National” or the “Company”). State National is a forty year old specialty insurance business based in Bedford, Texas with 390 employees. State National is a leading provider of services to specialty general agents and collateralized lenders through its Program Services and Lender Services lines of business. Edgewater is backing Terry Ledbetter, a highly respected industry veteran who has led the Company since its founding in 1973. State National recently signed several large new business partnerships and will utilize the newly invested equity to support their accelerated growth plan which is expected to double earnings in the next few years. In addition, Edgewater’s investment opportunity was created by the need for a founding shareholder to sell his stock due to serious health issues.
State National’s Program Services segment leverages the Company’s A.M. Best “A” rating and expansive insurance licenses to its customers in exchange for a ceding fee. Rather than take on underwriting risk which is the typical practice in the insurance industry, the Company cedes most underwriting exposure to reinsurance providers. Over the last 25 years, the Company has ceded $10 billion of insurance premiums with no losses. The Lender Services segment specializes in providing collateral protection insurance (“CPI”) to lenders, primarily credit unions, who make automobile loans. Positive trends in the CPI market are driven by growth in the lenders’ portfolios from rising auto sales, higher average loan sizes and increasing credit availability.
State National represents a compelling opportunity to back a seasoned management team with a differentiated business model and strong track record.
Edgewater Announces Specialty Insurance Investment (115 KB)
Edgewater Growth Capital Partners, III L.P. (“Edgewater”) is pleased to announce the sale of its portfolio company Testing Services Holdings Industries, Inc. (“TSHII”) to Geneva Switzerland based SGS, SA (“SGS”). TSHII is the holding company of Galson Laboratories, Inc. (“Galson” or the “Company”). Galson provides environmental health and safety testing services to manufacturing industries and for environmental clean-up projects in order to monitor workplace safety conditions. The Company is headquartered in Syracuse, NY with five strategically located services centers. SGS is a global leader in the Testing, Inspection and Certification industry and acquired Galson to reinforce its position in the U.S. while strengthening its industrial hygiene, health and safety capabilities globally.
Under Edgewater’s ownership, Galson accelerated its organic growth and made three acquisitions to expand its service offerings and geographic coverage. We want to acknowledge the outstanding leadership of the TSHII team for their work in leading the company’s profitable expansion.
Edgewater will continue to own Galson’s sister company TSH Distribution Industries, Inc. (“TSHD”), a company that distributes, rents and services instrumentation and personal protective equipment used in workplace safety. The TSHD team has already completed three acquisitions and is actively working on additional add-on opportunities.
Edgewater Announces Sale of Testing Services Holdings Industries (272 KB)
Industrial Service Solutions (“ISS”), a portfolio company of Edgewater Growth Capital Partners III, L.P. is pleased to announce that it has recently completed two acquisitions: Construction & Turnaround Services, Inc. (“CTS”) and Parts Services International LLC (“PSI”). Each of these companies will augment the ISS platform with additional products and services, talented personnel, and physical assets in new territories.
• CTS is based in Snyder, TX and provides plant inspection and maintenance services primarily for the oil & gas and chemical industries. The transaction was completed in May 2014.
• PSI is a distributor of compressed air aftermarket parts, filters, separators, dryers and other equipment via the internet. The transaction was completed in July 2014.
ISS was formed to execute a strategic build-up in the industrial repair, refurbishment and field services market. Equipment in which ISS has particular expertise includes valves, actuators, motors/generators, pumps and compressors among other categories that are critical to maintaining plant operations and minimizing downtime. Since inception, ISS completed eleven acquisitions and maintains over 20 service and distribution locations across the U.S. with over 500 skilled technicians. This combination of human and physical assets enables ISS to offer a broad and valuable set of solutions to its expansive customer base. The company maintains a robust pipeline of complementary companies that should continue the current pace of expansion and profitable growth.
Edgewater Platform Company Completes Two Acquisitions (85 KB)
Edgewater Growth Capital Partners III, L.P. (the “Fund”) is pleased to announce the recent acquisition of Premier Safety & Services, Inc. (“Premier” or the “Company”). Premier is a leading industrial safety equipment distributor specializing in a range of safety equipment including gas detectors, respiratory equipment, fall protection and other personal protection supplies. Premier is being added to the Fund’s platform company Testing Services Holdings, LLC. (“Testing Services”)
Testing Services was formed in 2010 to acquire specialty testing companies servicing the Health, Safety and Environmental market (“HSE”). Testing Services has completed 7 acquisitions to date in two verticals: 1) industrial hygiene testing and laboratory services and 2) sales and rental of equipment used to test and maintain a safe work environment. Premier is a highly complementary addition to the sales and rental vertical, adding well respected industry relationships and personnel to the platform.
Testing Services is continuing to pursue acquisitions of complementary, high quality niche companies in the HSE services and equipment industry.
Edgewater Adds To Its Testing Services Platform (144 KB)