M&A Deal Summary

Leeds Equity Partners and HarbourVest Partners Acquire Einstruction

On June 7, 2007, private equity firms Leeds Equity Partners and HarbourVest Partners acquired software company Einstruction from Chicago Growth Partners

Acquisition Highlights
  • This is Leeds Equity Partners’ 2nd and HarbourVest Partners’ 7th transaction in the Software sector.
  • This is Leeds Equity Partners’ 6th and HarbourVest Partners’ 31st transaction in the United States.
  • This is Leeds Equity Partners’ 2nd and HarbourVest Partners’ 6th transaction in Texas.
Investment Fate
  • Einstruction was sold to a strategic buyer in 2013.

M&A Deal Summary

Date 2007-06-07
Target Einstruction
Sector Software
Buyer(s) Leeds Equity Partners
HarbourVest Partners
Sellers(s) Chicago Growth Partners
Deal Type Secondary Buyout

Target

Einstruction

Denton, Texas, United States
Einstruction Corp. is a provider of interactive classroom technology (ICT) and content-based assessment software to the K-12, higher education, corporate and military markets worldwide. eInstruction’s comprehensive suite of products provide an interactive learning environment designed to improve student academic performance, increase efficiency and effectiveness of educators and provide greater information for use by instructors, administrators and parents. Einstruction is based in Denton, Texas.

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Buyer(S) 2

Buyer

Leeds Equity Partners

New York, New York, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1993
PE ASSETS 4.8B USD
Size Large
Type Sector Focused
DESCRIPTION

Leeds Equity Partners is a specialist private equity firm that targets investments in middle-market companies operating in knowledge industries. Specific areas of interest include education (K-12, postsecondary, at-risk/special education, instruction materials, testing), training (corporate training, professional certification/continuing education, language training), and information/business services (b2b publishing, information databases/research, tradeshows/conferences, business process outsourcing, consulting, staffing, marketing). Leeds prefers investing in established companies that are leaders in their respective markets. Leeds Equity Partners was formed in 1993 and is based in New York, New York.


DEAL STATS #
Overall 7 of 43
Sector: Software M&A 2 of 8
Type: Secondary Buyout M&A Deals 2 of 9
State: Texas M&A 2 of 5
Country: United States M&A 6 of 39
Year: 2007 M&A 2 of 2
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2007-03-01 EduK Group

Santurce, Puerto Rico

EduK Group Inc. operates educational institutions. EduK Group is a provider of postsecondary education in Puerto Rico and is building a presence in key Hispanic markets within the U.S.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2008-01-17 Anthology

Boca Raton, Florida, United States

Anthology is a provider of administrative software solutions to higher education, nonprofit organizations, and other learning industries. Anthology's product suite includes student information systems, constituent relationship management, enterprise resource planning, student and alumni engagement, retention, and compliance solutions. Anthology was founded in 1988 and is based in Boca Raton, Florida.

Buy -
Buyer

HarbourVest Partners

Boston, Massachusetts, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1978
PE ASSETS 147.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

HarbourVest Partners, LLC is an investment firm that makes investments in new private equity partnerships, acquires secondary interests, and makes direct investments in operating companies. HarbourVest's largest investment area is investments in private equity funds, comprising of approximately 2/3 of HarbourVest's assets. HarbourVest's direct investment group looks for investments in growth oriented businesses at a variety of stages. The Group generally targets co-investments of $5 to $100 million, growth capital financings of $5 to $40 million, or mezzanine commitments of $5 to $20 million. Sectors of interest include software, hardware, data communications, telecommunications, and financial services. HarbourVest was formed in 1997 to assume the business of Hancock Venture Partners which was formed in 1982. HarbourVest Partners is based in Boston, Massachusetts, with additional offices in London, Tokyo, and Hong Kong.


DEAL STATS #
Overall 52 of 214
Sector: Software M&A 7 of 26
Type: Secondary Buyout M&A Deals 11 of 55
State: Texas M&A 6 of 21
Country: United States M&A 31 of 130
Year: 2007 M&A 9 of 19
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2007-05-29 CDW

Vernon Hills, Illinois, United States

CDW is a direct marketer of multi-branded information technology products and services to small and medium sized businesses, government, healthcare and education customers in the United States and Canada. CDW was incorporated in 1984 and is based in Vernon Hills, Illinois.

Buy $7.3B
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2007-06-20 Nuveen Investments

Chicago, Illinois, United States

Nuveen Investments LLC provides high-quality investment services designed for institutions and high-net-worth investors as well as the consultants and financial advisors who serve them.

Buy $5.8B

Seller(S) 1

SELLER

Chicago Growth Partners

Chicago, Illinois, United States

Category Growth Capital Firm
Founded 2004
PE ASSETS 1.2B USD
Size Large
Type Sector Agnostic
DESCRIPTION

Chicago Growth Partners LLC (CGP) was a Chicago-based based private equity firm that provided expansion and buyout capital to middle-market companies generating sales of $15 to $150 million. CGP sought to invest in business services, consumer services, healthcare products/services, and industrial companies. CGP was formed in 2004 as a spin-off of William Blair Capital Partners, the investment group of investment bank William Blair. In 2014, the Firm ceased operations.


DEAL STATS #
Overall 11 of 34
Sector: Software M&A 1 of 1
Type: Secondary Buyout M&A Deals 4 of 8
State: Texas M&A 2 of 2
Country: United States M&A 9 of 31
Year: 2007 M&A 1 of 3
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2007-01-01 Footprint Solutions

Lisle, Illinois, United States

Footprint Solutions is a provider of end-to-end merchandising logistics services for leading retailers and brand marketers on a national basis. footprint provides unparalleled service no matter the size of the project – from in-store service needs to installation or removal of displays, signage, roll-outs and remodels, new store, build-out, merchandising, and comprehensive reporting. Footprint Solutions is based in Lisle, Illinois.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2007-07-29 Jonathan Engineered Solutions

Irvine, California, United States

Jonathan Engineered Solutions is a designer and manufacturer of customized steel and aluminum slides utilized in commercial and industrial applications, including the mounting of computer servers and storage systems, defense industry applications, and a variety of consumer product applications. Jonathan Engineered Solutions was founded in 1977 and is based in Irvine, California.

Buy -