Bregal Sagemount Announces Majority Investment in Single Digits

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Bregal Sagemount, a leading private equity firm focused on growth-oriented investments in both control and non-control situations, today announced that it has made a majority investment in Single Digits, Inc., the leading global provider of High Speed Internet Access (“HSIA”) management software and managed services to the hospitality, healthcare, education, transportation, retail, and office verticals. Sagemount made the investment alongside Single Digits’ founders, Chief Executive Officer Robert Goldstein and President Stephen A. Singlar. The transaction includes a substantial primary capital injection that will allow Single Digits to actively pursue its strategic acquisition and organic growth initiatives. No further terms of the transaction were disclosed.

“We are excited to formally begin our partnership with the Bregal Sagemount team, whom we have had the pleasure of knowing for several years,” said Robert Goldstein, Co-Founder and Chief Executive Officer of Single Digits. “The new investment will allow Single Digits to invest in new product enhancements to stay ahead of our clients’ needs and continue to be the provider and acquirer of choice in the HSIA space.”

The investment in Single Digits builds on Sagemount’s track record of successful transactions in the software, data infrastructure, and managed services spaces. Single Digits’ solutions allow public venues, such as hotels, arenas, malls, and transportation hubs, to provide secure, high reliability, fast broadband access to their guests and customers. The company’s core software solution, the Broadband Authentication Platform (“BAP”), empowers each client to tailor their HSIA offering to their unique needs. The BAP is complemented by a full suite of offerings, including IP network design and deployment, real time proactive network monitoring, 24×7 live customer support, and network optimization/network access control technology.

“High quality, hassle-free data connectivity is critical to the customer experience for hotels and other public venues,” said Daniel Kim, Founding Partner of Bregal Sagemount. “Single Digits has built a reputation in the industry as the trusted holistic HSIA/WiFi solution provider. The Single Digits team is world class and is poised to build on its established market leadership position organically and through acquisitions.”

“It is an exciting time for the Single Digits family,” said Stephen A. Singlar, Co-Founder and President of Single Digits. “We are thrilled to partner with the Sagemount team, who like us, believes in investing in continued product innovation and in enhancing our strong client service capabilities. We look forward to partnering with Bregal and benefiting from their valuable operational insights and financial expertise.”

Bregal Sagemount’s involvement will be led by Daniel Kim, Pavan Tripathi, and Kirk Smith. Cook, Little, Rosenblatt & Manson p.l.l.c. provided legal counsel to Single Digits. Goodwin Procter LLP represented Bregal Sagemount.

About Single Digits

Single Digits, Inc. is a leading global provider of High Speed Internet Access (HSIA) management and support solutions, guest management software and technical support services. We offer a complete guest HSIA solution, led by the pioneering Business Access Portal software and also includes components of IP network design, engineering, professional services, ongoing maintenance, networking monitoring, multi-lingual support, revenue reporting and authentication tracking. Our sound business fundamentals — on which the company was created — have led to exceptional growth, profitability and recognition by Inc. Magazine as one of the 500 fastest growing companies in the United States for multiple years. For more information, please visit www.singledigits.com.

About Bregal Sagemount

Bregal Sagemount is a growth-focused private capital firm with $1.7 billion in committed capital. Founded in 2012, the firm provides flexible capital and strategic assistance to market-leading companies in high-growth sectors across a wide variety of transaction situations. Bregal Sagemount invests $8 million to $150 million per transaction into both control and non-control positions, and will make equity and/or junior debt investments. Targeted sectors include software, digital infrastructure, healthcare IT services, business and consumer services, and financial technology / specialty finance. For more information, please visit www.sagemount.com.

Media Contact:

Zachary Tramonti
BackBay Communications
(617) 391-0797
zachary.tramonti@backbaycommunications.com

Bregal Sagemount Closes Second Fund with $960 Million of Commitments

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First Bregal Investments Fund to Open to Outside Investors

Bregal Sagemount, a leading private equity firm focused on growth-oriented investments in both control and non-control situations, today announced the first and final close of Bregal Sagemount II, LP (“Sagemount II”), at the hard cap with total commitments of $960 million. Sagemount II was oversubscribed and significantly exceeded the original $800 million target.

Sagemount II will continue Bregal Sagemount’s proven strategy of providing flexible capital and strategic assistance to market-leading companies in high-growth sectors across a wide variety of industries and transaction situations. Bregal Sagemount is part of Bregal Investments, which is a global private equity group with offices in New York, Dallas, London, Munich and Jersey. Investment vehicles associated with Bregal are the sole investors in $500 million predecessor fund, Sagemount I, LP, and have made the largest commitment to Sagemount II. Sagemount II’s other Limited Partners, all institutional investors, include endowments, pension plans and insurance companies.

“We are very pleased with the significant level of interest in our second fund and we’re eager to put this capital to work investing in market-leading companies in high-growth sectors,” said Gene Yoon, Managing Partner of Bregal Sagemount. “This fundraise underscores the success Bregal Sagemount has realized in its short history, which is a credit to our entire team of experienced and hard-working professionals. We thank our existing and new investors for their support and commitment to Bregal Sagemount, and we will continue to strive to deliver them strong risk-adjusted returns.”

Bregal Investments, which has invested over $12.5 billion globally since 2002, launched Bregal Sagemount in partnership with the Sagemount management team in June 2012.

Goodwin Procter LLP and Dechert LLP acted as legal counsel. MVision Private Equity Advisers acted as strategic fundraising adviser.

About Bregal Sagemount

Bregal Sagemount is a growth-focused private capital firm with $1.7 billion in committed capital. Founded in 2012, the firm provides flexible capital and strategic assistance to market-leading companies in high-growth sectors across a wide variety of transaction situations. Bregal Sagemount invests $8 million to $150 million per transaction into both control and non-control positions, and will make equity and/or junior debt investments. Targeted sectors include software, digital infrastructure, healthcare IT services, business and consumer services, and financial technology / specialty finance. For more information, please visit www.sagemount.com.

About Bregal Investments

Bregal Investments has invested over $12.5 billion since 2002 and is a subsidiary of COFRA Holding AG, a European holding company for a privately-owned group of companies, including C&A, a clothing retail organization, and Redevco, a real estate company owning a portfolio of over €7 billion across 400 properties in Europe. Bregal Investments, which has over US $10 billion in invested or committed capital, encompasses several dedicated funds including: Bregal Freshstream, a UK and Benelux focused middle market private equity fund, Bregal Unternehmerkapital, Equity Capital for mid-sized companies in German-speaking Europe, Bregal Partners, a North American middle market private equity fund, Bregal Energy, an Energy-focused private equity fund, Bregal Sagemount, a U.S. private equity fund for growth companies, Bregal Private Equity Partners, a global investor in private equity funds, secondaries, and selected co-investments, and Birchill Canada, an Alberta, Canada, oil and gas company. For more information, please visit www.bregal.com.

Media Contacts:

Zachary Tramonti
BackBay Communications
(617) 391-0797
zachary.tramonti@backbaycommunications.com

Stephen Fishleigh
BackBay Communications
+44 203-475-7552
stephen.fishleigh@backbaycommunications.com

Bregal Sagemount Invests in Internet Truckstop Group

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Bregal Sagemount has made a significant investment in Internet Truckstop Group (ITG). Idaho-based ITG provides technology solutions for freight transportation.

Internet Truckstop Group (“ITG”) today announced an investment from Bregal Sagemount, aimed at supporting the company’s continued expansion.

ITG is the leading provider of end-to-end technology solutions throughout the freight execution lifecycle in North America. Bregal Sagemount is a private equity firm focused on investing both capital and strategic assistance in market-leading companies in high-growth sectors. Due to its accelerated growth over the past few years, ITG plans to utilize the invested capital to rapidly scale its services, market reach, and continued value-add to its customers.

“Our flagship property, Truckstop.com, was founded in 1995 and has been a pioneer in offering innovative technology solutions rooted in the transactional freight business,” said Paris Cole, CEO of ITG. “In the highly-competitive freight transportation market, we have differentiated ourselves through our commitment to provide superior customer value through our extensive freight network. Bregal Sagemount will be a critical ally in the next chapter of our story as we move aggressively to help our customers tackle their biggest challenges. New capital will allow us to continue to innovate and rollout new products, such as our recently-launched LoadPay and CargoShield offerings. We chose to partner with Bregal Sagemount because of the firm’s deep sector expertise, flexible investment approach, and experience with helping companies accelerate their growth.”

“ITG has emerged as the leader in this market through its consistent effort to work closely with customers to understand their needs to meet the unique requirements of each business,” added Phil Yates, Founding Partner at Bregal Sagemount. “In ITG, we have a top management team offering transformative products to the rapidly-evolving freight transportation market. We are excited to partner with ITG to enable them to further help freight carriers and brokers thrive.”

Cole added, “I believe ITG’s dedication to providing value and unique solutions to address customer needs has resulted in a successful 2015. We are relentlessly looking for better ways to build off our strong foundation, and we are strategically advancing our products by embracing connectivity and integrating it into the core of our solutions.”

Phil Yates will also join Internet Truckstop Group’s Board of Directors. Terms of the deal were not disclosed. Signal Hill acted as ITG’s exclusive financial advisor. Managing Directors Dave Dolan and John Roediger led the Signal Hill team.

About Internet Truckstop Group

Internet Truckstop Group (ITG) is a family of brands providing end-to-end solutions throughout the freight execution lifecycle. Founded in 1995 as The Internet Truckstop, Truckstop.com (ITG’s flagship property) has grown into one of the world’s largest freight-matching networks. In addition to Truckstop.com, ITG brands (Real Time Freight, LoadPay, uDrove, ITS Financial Services, CargoShield) provide a line of best-in-class industry solutions, including: transportation management, freight payment, telematics and fleet management, bonding and insurance, freight factoring, and much more. For more information, please visit truckstopgroup.com and truckstop.com.

About Bregal Sagemount

Bregal Sagemount is a growth-focused private capital firm. The firm provides flexible capital and strategic assistance to market-leading companies in high-growth sectors across a wide variety of transaction situations. Bregal Sagemount invests $15 million to $150 million per transaction into targeted sectors including software, digital infrastructure, healthcare IT / services, business and consumer services, and financial technology / specialty finance. For more information, please visit www.sagemount.com.

About Signal Hill

Signal Hill is a leading advisory boutique serving the M&A and private capital raising needs of growth companies. Signal Hill’s experienced bankers provide deep domain expertise and an unyielding commitment to clients in our sectors: Internet & Digital Media, Internet Infrastructure, Services and Software. For more information, please visit www.signalhill.com.

Media Contact:

Doug Allen
BackBay Communications
(646) 722-4270
Doug.Allen@BackBayCommunications.com

Bregal Sagemount Makes Significant Investment in Open Lending, LLC

Bregal Sagemount announces $40 million equity investment in automated lending services provider Open Lending, LLC

New York-based growth-focused private capital firm Bregal Sagemount announced this morning that it has closed a $40 million equity investment in Open Lending, LLC, securing a significant minority position in the automated lending services provider. Based in Austin, Texas, Open Lending specializes in loan analytics, risk-based pricing, risk modeling and automated decision technology for automotive lenders throughout the United States. As part of the deal, Bregal Sagemount executives Gene Yoon and Blair Greenberg will join Open Lending’s board.

“We believe Open Lending’s platform provides financial institutions the most affordable, effective, and timely system for evaluating portfolio risk and insuring auto loans,” said Open Lending CEO John Flynn. “This in turn allows them to offer more credit to customers who need it throughout the United States, without jeopardizing the lenders’ financial stability. We’re looking forward to partnering with Bregal Sagemount and leveraging their proven expertise in growing financial technology and payments solutions companies.”

The funds will be used to fuel further growth for Open Lending within the automated lending industry, and allow the Company to accelerate its expansion among financial institutions, credit unions, and regional banks. Open Lending’s automated platform allows lenders to better evaluate near- and non-prime auto loans through analytics, risk-based pricing, risk modeling and default insurance, thereby ensuring profitable auto loan portfolios for financial institutions.
“Technology is revolutionizing the way credit and capital is made available to consumers,” said Mr. Greenberg, Principal at Bregal Sagemount. “We believe that financial institutions have an incredible opportunity to increase their loan volumes and customer base by utilizing technology platforms like Open Lending’s.”

“Open Lending has a tremendous opportunity to apply its unique combination of data analytics and automated decision processing to create a market with risk-based pricing and more transparency to both borrowers and lenders,” added Mr. Yoon, Managing Partner of Bregal Sagemount. “We’re eager to apply our knowledge and investing experience within the financial technology sector to provide Open Lending the strategic resources needed for continued growth.”

Goodwin Procter served as legal advisor to Bregal Sagemount. Vaquero Capital LLC and Andrews Kurth LLP provided financial and legal counsel to Open Lending, LLC.

About Bregal Sagemount

Bregal Sagemount is a growth-focused private capital firm with $650 million in committed capital. The firm provides flexible capital and strategic assistance to market-leading companies in high-growth sectors across a wide variety of transaction situations. Bregal Sagemount invests $15 million to $150 million per transaction into targeted sectors including software, digital infrastructure, healthcare IT / services, business and consumer services, and financial technology / specialty finance. For more information, please visit www.sagemount.com.

About Open Lending LLC

Open Lending has built a strong platform through its flagship product, Lenders Protection, offering loan analytics, risk-based pricing, risk modeling and default insurance. Lenders Protection ensures profitable auto loan portfolios for financial institutions throughout the United States. For more information, please see www.OpenLending.com.

Media Contact:

Doug Allen
BackBay Communications
(646) 722-4270
Doug.Allen@BackBayCommunications.com

MOBI Announces $35 Million Investment

First external investment gives growth equity firm Bregal Sagemount a minority stake, positions MOBI for growth

MOBI, a leading global technology platform that empowers enterprises to manage the complexities of connected device environments, today announces a $35 million investment from New York-based growth equity firm Bregal Sagemount. The raised funds will allow MOBI to capitalize on the hyper-growth of the industry, which analysts predict will reach $3.4B in revenue by 2016. As part of the investment, Bregal Sagemount’s founding partner, Daniel Kim, will join the Board.

MOBI plans to utilize this capital to expand its leadership position in technology, followed by investment in broader go-to-market strategies, including continued global expansion. The next evolution of MOBI technology will be focused on business intelligence and how the company’s platform can help enterprises leverage connected devices in new ways to deliver products and services.

“We believe our technology has a head and shoulders lead over our competitors as it relates to functionality, third party systems integration and analytics,” said Scott Kraege, CEO and Co-Founder of MOBI. “Beyond software, MOBI is powered by more than 250 of the industry’s brightest mobility specialists. Extraordinary service, creative problem solving and project management lie at the heart of our identity as company. Now with this investment, we can grow even further to meet market demand.”

Mobility and connected devices are quickly changing the fundamental ways enterprises are executing business models. Mobile ecosystems have become an elaborately interconnected fabric of third party software applications, network and service providers, and security solutions all running on an endless range of ever-changing devices.

This complexity is driving IT leaders to seek help. MOBI’s platform acts as an integration hub for a wide range of vendors and technologies that touch mobility. MOBI ultimately becomes the central hub from which IT can control, manage and analyze a holistic mobile environment.

“The problem MOBI solves is one that has not been traditionally addressed by a comprehensive software platform. MOBI is experiencing incredible growth and has established itself as a market leader in mobility management,” said Kim. “Their acceleration in new customer wins attests to the enormous pain their solution mitigates.”

In an effort to satisfy the needs of their enterprise clients, Global IT and consulting companies have partnered with MOBI to offer MOBI’s software and services as part of their standard enterprise mobility offerings. Through a balanced go-to-market structure that includes channel partnerships and direct selling, MOBI has experienced tremendous growth including a 32% compound annual growth rate in recurring revenues since January 2012.

“Equally as important as the capital raise was the prospect of a strategic partnership with Bregal Sagemount. These are world-class business minds that will add immeasurable value to our strategic growth efforts,” said Michael Browning II, Chairman and Co-Founder of MOBI.

“We are excited to partner with Scott, Michael and the entire team at MOBI,” said Adam Fuller, vice-president, Bregal Sagemount. “They have built a world-class organization, and we are honored to work alongside such outstanding entrepreneurs with a strong track record of demonstrating consistent and profitable growth.”

About MOBI

Founded in 2009, MOBI provides software and services to help companies manage mobility. MOBI’s cloud-based software centralizes the management of mobile devices by integrating with wireless carriers, EMMs, corporate IT systems, and third-party technology applications that touch a mobility environment. MOBI’s services help organizations deploy, secure, support, optimize, monitor, and decommission mobile devices. For more information:
– Please visit www.MOBIwm.com
– See our Media kit: www.MOBIwm.com/about/mediakit
– Our a blog with details of our growth: www.MOBIwm/announcements/MOBI-Growth

About Bregal Sagemount

Bregal Sagemount is a growth-focused private capital firm with $650 million in committed capital. The firm provides flexible capital and strategic assistance to market-leading companies in high-growth sectors across a wide variety of transaction situations. Bregal Sagemount invests $15 million to $150 million per transaction into targeted sectors including software, digital infrastructure, healthcare IT / services, business and consumer services, and financial technology / specialty finance. For more information, please visit www.sagemount.com.

MOBI Media Contact:
Finn Partners
David Wendland
david.wendland@finnpartners.com
(312) 329-3918

Bregal Sagemount Media Contact:
Doug Allen
BackBay Communications
(646) 722-4270
Doug.Allen@BackBayCommunications.com