Business Expected to Operate as TSI Once Transaction Is Completed
PLANO, TX and LOS ANGELES, CA–(Marketwired – Jul 14, 2014) – Expert Global Solutions (EGS), a global leader in the Business Process Outsourcing (BPO) industry, announced today that it has entered into an agreement to sell certain segments of its Accounts Receivable Management (ARM) business to Platinum Equity, a Los Angeles-based private equity firm with a highly-specialized focus on business operations. Financial terms of the pending transaction were not disclosed.
The proposed sale of Transworld Systems, Inc. comprises several business segments within EGS’ ARM business: Transworld Systems, Education, Attorney Network, Healthcare Bad Debt, Government and U.S.-based Third Party Collections. Once the transaction is completed the business is expected to operate as Transworld Systems, Inc. (TSI) going forward.
Bob Segert, EGS president and chief executive officer, cites the proposed sale as a win for all involved.
“As a result of the sale of these businesses, EGS will be able to sharpen its focus on our key business segments, services and strengths, specifically CRM and First Party Collections,” Mr. Segert said. “Platinum Equity has been a great partner throughout this process, and we are confident these businesses will continue to thrive under their ownership.”
Platinum Equity partner Jacob Kotzubei, who leads the Platinum Equity team pursuing the acquisition, said the opportunity is attractive for multiple reasons.
“The business has great leadership, powerful proprietary systems and a strong culture of compliance,” said Mr. Kotzubei. “We believe there is a great opportunity to grow the business and maintain the highest standards of excellence by continuing to invest in infrastructure and technology.”
Mr. Kotzubei said Platinum Equity is highly experienced with acquiring segments of existing companies, often known as corporate “carve outs,” and the firm’s operations team has developed a comprehensive plan to ensure a seamless transition.
Mr. Segert noted that business continues as usual, “All parties are working to complete the transaction with few, if any, impacts to clients, customers and employees.”
The transaction is expected to be completed within the next several months, subject to satisfaction of customary closing conditions. Credit Suisse Securities (USA) LLC acted as financial adviser to EGS.
ABOUT PLATINUM EQUITY
Founded by Tom Gores in 1995, Platinum Equity is a global investment firm with more than $7 billion in assets under management and a portfolio of operating companies that generated approximately $15 billion in revenue in 2013. Platinum Equity specializes in mergers, acquisitions and operations — a trademarked strategy the firm calls M&A&O® — acquiring and operating companies in a broad range of business markets, including manufacturing, information technology, telecommunications, transportation and logistics, media, equipment rental, metals and other industries. Over the past 19 years Platinum Equity has completed more than 150 acquisitions. For more information, visit Platinum Equity’s website: www.platinumequity.com.
EGS Media Contact:
Vice President, Marketing and Communications
Email: Email Contact
Platinum Equity Media Contact:
Senior Vice President
E-mail: Email Contact
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