Investment Summary

ABS Capital Partners, First Analysis, Morgan Stanley Expansion Capital and Lenovo Group Invest In Scale Computing

On August 18, 2014, private equity firm ABS Capital Partners, venture capital firm First Analysis, growth capital firm Morgan Stanley Expansion Capital and Lenovo Group invested in information technology company Scale Computing

Investment Highlights
  • This is ABS Capital Partners’ 9th, First Analysis’ 9th, Morgan Stanley Expansion Capital’s 3rd and Lenovo Group’s 1st transaction in the Information Technology sector.
  • This is ABS Capital Partners’ 49th, First Analysis’ 36th, Morgan Stanley Expansion Capital’s 11th and Lenovo Group’s 5th transaction in the United States.
  • This is ABS Capital Partners’ 1st, First Analysis’ 1st, Morgan Stanley Expansion Capital’s 1st and Lenovo Group’s 2nd transaction in Indiana.

Investment Summary

Date 2014-08-18
Target Scale Computing
Sector Information Technology
Investor(s) ABS Capital Partners
First Analysis
Morgan Stanley Expansion Capital
Lenovo Group
Deal Type Growth Capital

Target

Scale Computing

Indianapolis, Indiana, United States
Scale Computing provides edge computing, virtualization, and hyperconverged solutions, Scale offers its HC3 platform integrating servers, storage, virtualization, and management in a single automated system that is surprisingly easy to use and self-healing. The solution dramatically lowers the barriers and costs involved in keeping applications running in a highly available, scalable manner. Scale Computing was founded in 2007 and is based in Indianapolis, Indiana.

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Investor(S) 4

Investor

ABS Capital Partners

Hunt Valley, Maryland, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1990
PE ASSETS 2.5B USD
Size Large
Type Sector Agnostic
DESCRIPTION

ABS Capital Partners is a private equity firm that invests in later-stage growth companies in the healthcare, technology, business services, media and communications sectors. ABS provides capital to help fund growth, provide shareholder liquidity, pursue acquisitions, or to effect a management buyout. The Firm prefers US based business and will consider both majority and minority positions. ABS looks to commit $10 to $30 million per transaction. ABS Capital was formed in 1990 and has offices in Baltimore, Maryland; Waltham, Massachusetts; and San Francisco, California.


DEAL STATS #
Overall 50 of 64
Sector (Information Technology) 9 of 12
Type (Growth Capital) 9 of 16
State (Indiana) 1 of 2
Country (United States) 49 of 63
Year (2014) 3 of 3
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2014-08-12 Bravo Wellness

Cleveland, Ohio, United States

Bravo Wellness LLC is a data-driven provider of wellness solutions to more than one million users nationwide. Bravo Wellness was founded in 2008 and is based in Cleveland, Ohio.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2014-09-15 FolioDynamix

New York, New York, United States

FolioDynamix, Inc. is a provider of an end-to-end technology solution paired with a suite of advisory tools including model portfolios, research, and overlay management services. FolioDynamix is based in New York, New York.

Sell $199M
Investor

First Analysis

Chicago, Illinois, United States

Investor Investor Investor Investor Investor


Category Venture Capital Firm
Founded 1981
PE ASSETS 800M USD
Size Middle-Market
Type Sector Agnostic
DESCRIPTION

First Analysis is a financial advisory and investment firm. First Analysis' private equity arm targets investments in growth companies at all stages of development. The Group looks for opportunities based primarily in the US and can commit up to $10 million of equity per transaction. Sectors of particular interest include outsourced services, (business/government services, education, environmental services, healthcare services, marketing services); information technology, (business integration, call centers, healthcare IT, network security, open source, sensor systems, transaction processing); and chemistry enabled businesses (advanced materials, chemicals, healthcare products, polymers, purification). First Analysis was formed in 1981 and is based in Chicago, Illinois.


DEAL STATS #
Overall 38 of 60
Sector (Information Technology) 9 of 12
Type (Growth Capital) 6 of 14
State (Indiana) 1 of 1
Country (United States) 36 of 57
Year (2014) 3 of 5
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2014-03-17 Fleetworthy Solutions

Madison, Wisconsin, United States

Fleetworthy Solutions is a provider of outsourced compliance services to owners and operators of truck fleets that take them Beyond Compliant. Fleetworthy combines exceptional client service, advanced technologies and more than 30 years of transportation industry expertise to make sure that drivers and assets are fleet worthy. The company helps private fleets, for-hire carriers, and third-party logistics companies of all sizes surpass compliance of federal, state, and local regulations and streamline processes to reduce costs and mitigate risks. Fleetworthy Solutions was established in 1983 and is based in Madison, Wisconsin.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2014-11-24 Recsolu

Chicago, Illinois, United States

Recsolu LLC is a provider of software-as-a-service solutions for recruiting college talent.

Buy -
DESCRIPTION

Morgan Stanley Expansion Capital is a division of Morgan Stanley that looks to make growth equity and credit investments in expanding companies operating in the healthcare, digital media, e-commerce, consumer and business services sectors. The unit will consider opportunities throughout North America and Western Europe and primarily targets companies with established products/services looking to scale. Morgan Stanley Expansion Capital is headquartered in New York City.


DEAL STATS #
Overall 11 of 48
Sector (Information Technology) 3 of 9
Type (Growth Capital) 4 of 21
State (Indiana) 1 of 1
Country (United States) 11 of 40
Year (2014) 1 of 2
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2013-07-05 NanoString Technologies

Seattle, Washington, United States

NanoString Technologies develops, manufactures, and sells tools for scientific and clinical research in the fields of genomics and proteomics in the Americas, Europe, the Middle East, and the Asia Pacific. The company offers nCounter Analysis System, an automated, multi-application, digital detection, and counting system. NanoString Technologies was founded in 2003 and is based in Seattle, Washington.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2014-10-08 Ecentria

Northbrook, Illinois, United States

Ecentria is an online retailer of specialized and technical products in the outdoor, optical and laboratory categories. Ecentria is based in Northbrook, Illinois.

Buy -
Investor

Lenovo Group

Quarry Bay, China

Category Company
Founded 1984
Sector Technology Hardware
Employees69,500
Revenue 56.9B USD (2024)
DESCRIPTION
Lenovo Group's office in Santa Clara, California.
Lenovo Group's office in Santa Clara, California.

Lenovo Group is a provider of IT hardware. The Group engages primarily in the manufacturing and sale of desktop computers, notebook computers, mobile handsets, servers and peripherals. Lenovo Group was founded in 1984 and is based in Quarry Bay, China.


DEAL STATS #
Overall 7 of 8
Sector (Information Technology) 1 of 1
Type (Growth Capital) 1 of 1
State (Indiana) 2 of 2
Country (United States) 5 of 6
Year (2014) 2 of 3
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2014-01-29 Motorola Mobility

Schaumburg, Illinois, United States

Motorola Mobility LLC is a manufacturer of smartphones and other mobile devices. The Company was formed in 2011 as a divestiture from Motorola in 2011.

Buy $2.9B
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2014-09-29 IBM’s x86 Server Business

New York, United States

IBM’s x86 server business comprises of System x, BladeCenter and Flex System blade servers and switches, x86-based Flex integrated systems, NeXtScale and iDataPlex servers and associated software, blade networking and maintenance operations.

Buy $2.1B