FOR IMMEDIATE RELEASE
Successful Sale, New Acquisition Solidify PennSpring as BPO Investment Leader
Current Holding Sold at Multiples of Purchase Price, New Platform Positioned for Equivalent Outcome
LANCASTER, PA, November 9, 2021 – PennSpring Capital, a direct investment firm focused on lower middle market opportunities, announced today that it has completed the sale of its holding Securus Contact Systems to Signpost, a leading provider of CRM and marketing automation software serving over 20,000 local businesses nationwide. Signpost is a portfolio company of HighBar Partners and Georgian.
Over just 30 months of ownership, PennSpring injected professional leadership, streamlined operations and quintupled Securus’ EBITDA. This is PennSpring’s third successful exit of 2021. Lincoln International acted as the exclusive financial advisor to PennSpring and Securus. Stated Bob Lockwood, Managing Director, Technology, Media & Telecom Investment Banking at Lincoln, “Congrats to Lou Castelli and the PennSpring Capital team for another great investment outcome. The SMB software and services market continues its rapid growth.”
Consistent with this business process outsourcing (BPO) investment thesis, PennSpring also announced today that it has acquired majority interest in text marketing platform Mobiniti. Based in Wilkes-Barre, Pennsylvania, Mobiniti provides customer engagement solutions to more than 1,000 businesses and organizations across all industries and sizes, from SMB to enterprise.
Mobiniti Co-Founders Bryan Hunsinger and Rocco Ciavarella will each retain significant equity, and strategic consulting positions in the company, in partnership with PennSpring Capital. “We are thrilled to join forces with Lou and PennSpring – their financial and operational resources are precisely what we require to build on our prior successes, and take Mobiniti to even greater heights,” said Mr. Hunsinger. “PennSpring is expert at creating value, and we believe this is an outstanding opportunity for our entire organization.”
Followed PennSpring Managing Partner Lou Castelli, “Bryan and Rocco have given their heart and soul to Mobiniti since its 2014 founding, and they have secured an enviable position at the forefront of SMS marketing. We believe that the platform’s total addressable market is effectively limitless, with 92% of Americans owning cell phones and text messages receiving 98% open rates (with 40% engagement). Mobiniti is local to us, and we are honored to begin working with this energetic, creative team toward significant, sustainable expansion.”
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About PennSpring Capital
Founded in 2018 by proven entrepreneurs and self-capitalized from the proceeds of multiple outlier exits, PennSpring has evolved from a Lancaster, Pennsylvania family office to among the most active private equity firms in the country – with 11 acquisitions and 5 exits completed to date. PennSpring is focused on lower middle market opportunities, investing in dynamic companies and helping evolve them to institutional scale. Learn more at www.pennspring.com.
Contact PennSpring: Justin Davis, Partner justin@pennspring.com