Secondary Buyout • Internet Software and Services

H.I.G. Private Equity and Francisco Partners Acquire RBmedia

On July 26, 2023, private equity firms H.I.G. Private Equity and Francisco Partners acquired internet software and services company RBmedia from KKR

Acquisition Context
  • This is H.I.G. Private Equity’s 12th and Francisco Partners’ 28th transaction in the Internet Software and Services sector.
  • This is H.I.G. Private Equity’s 225th and Francisco Partners’ 122nd transaction in the United States.
  • This is H.I.G. Private Equity’s 5th and Francisco Partners’ 2nd transaction in Maryland.

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M&A Deal Summary

Date July 26, 2023
Target RBmedia
Sector Internet Software and Services
Buyer(s) H.I.G. Private Equity
Francisco Partners
Sellers(s) KKR
Deal Type Secondary Buyout
Advisor(s) Goldman Sachs
LionTree (Financial)
Simpson Thacher & Bartlett (Legal)

Target Company

RBmedia

Landover, Maryland, United States
RBmedia is a provider in spoken audio content and digital media distribution technology that reaches millions of consumers – at home, in the car, and wherever their mobile devices take them. RBmedia produces exclusive titles and delivers the finest digital content and information – including audiobooks, educational courses, entertainment titles, and much more. RBmedia is based in Landover, Maryland.
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Buyers Overview 2

Buyer

H.I.G. Private Equity

Miami, Florida, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1993
PE ASSETS 65.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

HIG Private Equity is the private equity arm of HIG Capital. The Firm focuses on management buyouts, growth equity investments, and recapitalizations of mid-sized to large companies valued between $50 million and $1 billion. HIG will also consider industry consolidations, going-privates, and corporate divestitures. Sectors of interest include aerospace, building materials, business services, consumer products, distribution, healthcare, infrastructure, contracting, manufacturing, media, oil & gas services, IT, and transportation. HIG was formed in 1993 is based in Miami, Florida.


Deal Context for Buyer #
Overall 341 of 385
Sector: Internet Software and Services 12 of 12
Type: Secondary Buyout 58 of 73
State: Maryland 5 of 6
Country: United States 225 of 251
Year: 2023 10 of 16
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2023-07-05 Jenny Craig

Carlsbad, California, United States

Jenny Craig is a weight management services company. The Company provides consumers with a comprehensive weight management program that emphasizes personal support to help clients develop a healthy relationship with food, build an active lifestyle, and create a more balanced approach to living. Jenny Craig was founded in 1983 and is based in Carlsbad, California.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2023-08-14 Worksuite

San Francisco, California, United States

Worksuite is a smart, user-friendly Freelancer Management System (FMS). Worksuite makes it easy for small and large companies to onboard, manage and pay external workers in over 200 countries with just a few clicks. Take care of compliance, reporting, and project management in a fraction of the time. Worksuite is a complete solution providing powerful features and flexibility for every stage of business growth. Worksuite was founded in 2015 and is based in San Francisco, California.

Buy -
Buyer

Francisco Partners

San Francisco, California, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1999
PE ASSETS 45.0B USD
Size Mega
Type Sector Focused
DESCRIPTION
Francisco Partners' headquarters in San Francisco, California.
Francisco Partners' headquarters in San Francisco, California.

Francisco Partners is a private equity firm focused exclusively on investments in technology and technology-enabled services. Specific areas of interest include semiconductors, capital equipment, electronics components, systems and manufacturing, IT services and business process outsourcing, communications, security and enterprise applications, and infrastructure software. Prospective investment situations include divisional buyouts, growth equity financings, acquisitions of private companies, sponsored mergers and acquisitions, and take-privates. Francisco Partners looks for opportunities where it can commit a minimum of $100 million per investment. Francisco Partners was formed in 1999 and is based in San Francisco, California.


Deal Context for Buyer #
Overall 147 of 160
Sector: Internet Software and Services 28 of 31
Type: Secondary Buyout 25 of 29
State: Maryland 2 of 2
Country: United States 122 of 134
Year: 2023 3 of 7
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2023-07-10 Macrobond

Malmo, Sweden

Macrobond is a provider of macroeconomic and financial time series data from primary and third-party sources with proprietary software focused on workflow efficiency. Macrobond was founded in 2008 and is based in Malmo, Sweden.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2023-07-31 New Relic

San Francisco, California, United States

New Relic is a SaaS provider focused on analytics services. New Relic was founded in 2007 and is based in San Francisco, California.

Buy $6.5B

Seller Profile 1

SELLER

KKR

New York, New York, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1976
PE ASSETS 267.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION
KKR's office in Menlo Park, California.
KKR's office in Menlo Park, California.

KKR is a global investment firm founded by Jerome Kohlberg, Henry Kravis, and George Roberts. The Firm is separated into several business segments including private markets, public markets, capital markets, and other principal activities. KKR's private equity practice invests in management buyouts, take privates, corporate divestitures, industry consolidations, and partnerships with family-owned companies. KKR will invest in a broad range of industries and companies and will consider businesses throughout North America, Europe, Asia, and Australia/New Zealand. Sectors of interest include chemicals, consumer products, energy and natural resources, financial services, healthcare, industrial, media/communications, retail, and technology. In addition to its traditional principal investment activity business, KKR also invests in infrastructure assets. KKR was formed in 1976 and is based in New York, New York.


Deal Context for Seller #
Overall 193 of 215
Sector: Internet Software and Services 16 of 17
Type: Secondary Buyout 31 of 41
State: Maryland 2 of 2
Country: United States 84 of 94
Year: 2023 9 of 13
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2023-07-21 Chase

Westwood, Massachusetts, United States

Chase manufactures and sells protective materials for various applications in the United States and internationally. Chase was incorporated in 1946 and is based in Westwood, Massachusetts.

Buy $1.3B
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2023-08-02 LEAP

Mumbai, India

Leading Enterprise in Asset Pooling (LEAP) is a provider of sustainable supply chain solutions. Specializing in the design, manufacture, and management of wooden pallets, reusable packaging, and containers, the company primarily operates in the asset pooling space, offering cutting-edge supply chain solutions to businesses throughout India. Its mission is to provide cost-effective and sustainable solutions that help businesses reduce waste and lower costs while minimizing the environmental impact of their operations. LEAP was formed in 2013 and is based in Mumbai, India.

Buy -