Huron Capital Partners Acquires RME
Huron Capital Partners announced today that it has partnered with management to acquire RME from its former parent DME Holdings. The transaction closed July 9. Terms of the transaction were not disclosed. Huron's investment is its first out of The Huron Fund III L.P., a $350 million fund for which the firm began considering investments in April.
Based in Tampa, FL, RME provides direct marketing services for customers in the financial services, insurance, mortgage and many other sectors. In addition to traditional direct mail and innovative web-based lead generation solutions, RME offers Seminar Success(R), a turnkey seminar-based lead generation program that repeatedly yields lower lead costs and higher ROIs than most other marketing methods.
John Higgins, a Partner at Huron, commented, "RME founders, Tom Panaggio and Jorge Villar, have built RME into the clear market leader for seminar-based lead generation programs. The value proposition of RME's programs combined with the depth of its management team are very attractive to us. Together, we see great opportunities to build RME's business and we are committed to providing the resources to do so."
Mr. Panaggio, CEO of RME, added, "This is an exciting opportunity for our management team and employees to build on our history of success. We are also excited about our partnership with Huron Capital because we believe their operational approach will help our business grow, drive operational excellence and preserve our entrepreneurial culture."
The RME investment caps a string of six transactions that Huron has closed so far this year, continuing its strong pace of deploying capital and realizing investments in the middle-market. In addition to the RME deal, the firm's completed deals in 2008 include acquisitions of Berman Printing, Inc., Koch's Orthotic / Prosthetic Services, Inc., Commercial Communications, Inc., The Institute of Medical and Dental Technology, LLC, and the sale of Northern Cap Holdings, Inc. to Totes-Isotoner Corp. The firm also completed fundraising efforts on The Huron Fund III, L.P. ($350 million), significantly surpassing its original target. Lastly, the firm hired Gretchen Perkins in May in the newly-created role of Vice President, Business Development to increase the firm's footprint as a leading investor in middle-market companies. With significant available capital, Huron is aggressively seeking new investment opportunities and expects to have an equally active second half of 2008.
About Huron Capital Partners LLC
Huron Capital is a leading private equity firm investing in lower middle-market companies. The firm typically invests between $10 million and $50 million in equity to sponsor buyouts and recapitalizations of well-positioned niche manufacturing, specialty service, and value-added distribution companies having revenues up to $200 million. Through its operational approach, Huron's strategy is to partner with strong management teams to build well-positioned companies through acquisition and organic growth.
Huron Capital manages over $600 million in equity through three private equity funds. Since its founding in 1999, Huron has acquired or invested in 42 companies in a variety of areas including print solutions and document management, education, healthcare products and services, specialty chemicals, specialty packaging, consumer products, home decor, passenger transportation services, building products, office furniture components and laboratory testing. The firm has generated top-quartile returns for its Limited Partners. For more information, visit us at www.huroncapital.com .