Investment Summary

Tenex Capital Management, Yukon Partners and Northstar Capital Invest In Black Diamond Networks

On December 7, 2021, private equity firm Tenex Capital Management, mezzanine finance firm Yukon Partners and mezzanine finance firm Northstar Capital invested in staffing company Black Diamond Networks

Investment Highlights
  • This is Tenex Capital Management’s 4th, Yukon Partners’ 1st and Northstar Capital’s 1st transaction in the Staffing sector.
  • This is Tenex Capital Management’s 39th, Yukon Partners’ 46th and Northstar Capital’s 99th transaction in the United States.
  • This is Tenex Capital Management’s 2nd, Yukon Partners’ 1st and Northstar Capital’s 2nd transaction in Massachusetts.

Investment Summary

Date 2021-12-07
Target Black Diamond Networks
Sector Staffing
Investor(s) Tenex Capital Management
Yukon Partners
Northstar Capital
Deal Type Growth Capital

Target

Black Diamond Networks

Andover, Massachusetts, United States
Black Diamond Networks provides highly-qualified contract professionals to companies in the life sciences, engineering, and information technology sectors. Industries served include pharmaceutical, medical devices, biotechnology, aerospace, automotive, avionics, electronics, industrial equipment, military/defense, networking and communications, semiconductor, and telecommunications. Black Diamond Networks was founded in 1999 and is based in Andover, Massachusetts.

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Investor(S) 3

Investor

Tenex Capital Management

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1999
PE ASSETS 1.2B USD
Size Large
Type Sector Agnostic
DESCRIPTION

Tenex Capital Management is a private investment group focused on acquiring control positions in profitable North American companies with $3 to $40 million of EBITDA. The Firm does not have any sector preferences and looks to commit up to $125 million per transaction. Tenex Capital Management was formed in 1999 and is based in New York City.


DEAL STATS #
Overall 39 of 49
Sector (Staffing) 4 of 4
Type (Growth Capital) 14 of 16
State (Massachusetts) 2 of 4
Country (United States) 39 of 49
Year (2021) 4 of 4
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2021-12-02 Suited Connector

Englewood, Colorado, United States

Suited Connector is a data solutions and marketing technology (MarTech) platform that fuels new customer growth and extends customer retention at scale across all consumer verticals, including but not limited to financial services, home services, and insurance. Suited Connector was founded in 2013 and is based in Englewood, Colorado.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2021-12-13 Aqua Central

Tampa, Florida, United States

Aqua Central is a distributor of pool equipment and supplies. Aqua Central was founded in 2020 and is based in Tampa, Florida.

Sell -
Investor

Yukon Partners

Minneapolis, Minnesota, United States

Investor Investor Investor Investor Investor


Category Mezzanine Finance Firm
Founded 2008
PE ASSETS 640M USD
Size Middle-Market
Type Sector Agnostic
DESCRIPTION

Yukon Partners is a mezzanine finance firm that works with private equity sponsors to fund a variety of investment situations. Yukon looks to invest $10 to $40 million to support buyouts, recapitalizations, take privates, and refinancings. Sectors of interest include automotive, building products, business services, consumer products, food/beverages, healthcare products/services, industrial manufacturing, niche manufacturing, and transportation/logistics. Prospective companies generally have revenues of $30 to $500 million and are profitable with EBITDA of $5 to $50 million. Yukon Partners was formed in 2008 and is based in Minneapolis, Minnesota.


DEAL STATS #
Overall 47 of 54
Sector (Staffing) 1 of 1
Type (Growth Capital) 13 of 15
State (Massachusetts) 1 of 1
Country (United States) 46 of 53
Year (2021) 2 of 2
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2021-11-30 Aarrowcast

Shawano, Wisconsin, United States

Aarrowcast is a provider of ductile, gray, and austempered ductile iron castings that specializes in large, complex castings utilizing sophisticated metallurgy. The Company’s products are sold to global original equipment manufacturers in the agriculture, off-highway heavy truck, military, and construction industries. Aarrowcast was formed in 1978 and is based in Shawano, Wisconsin.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2022-02-08 Midwest Paper Group

Combined Locks, Wisconsin, United States

Midwest Paper Group is a manufacturer and distributor of recycled containerboard, natural kraft & bleached packaging, and printing & writing grades. Midwest Paper was founded in 1889 and is based in Combined Locks, Wisconsin.

Sell -
Investor

Northstar Capital

Minneapolis, Minnesota, United States

Investor Investor Investor Investor Investor


Category Mezzanine Finance Firm
Founded 1993
PE ASSETS 1.7B USD
Size Large
Type Sector Agnostic
DESCRIPTION

Northstar Capital is a mezzanine finance firm that provides junior capital to middle-market companies operating in the value-added distribution, light manufacturing, business services, financial services, education, and specialty healthcare sectors. Northstar's typical investment size is $5 to $30 million in businesses generating sales of $20 to $300 million with an EBITDA of at least $3 million. Prospective companies have stable cash flows and sustainable margins. Investments typically have maturities of five to eight years. Northstar does not invest in start-ups, real estate development, natural resource exploration, or high technology companies. Northstar Capital was formed in 1993 and is based in Minneapolis, Minnesota.


DEAL STATS #
Overall 104 of 109
Sector (Staffing) 1 of 1
Type (Growth Capital) 21 of 21
State (Massachusetts) 2 of 2
Country (United States) 99 of 104
Year (2021) 6 of 7
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2021-12-01 Revenue Management Solutions

Oklahoma City, Oklahoma, United States

Revenue Management Solutions is a provider of processes that facilitate the timely matching, posting and reconciliation of health care payments to underlying claims or other correspondence. Revenue Management Solutions was founded in 2006 and is based in Oklahoma City.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2021-12-1 Monroe Engineering

Rochester Hills, Michigan, United States

Monroe Engineering is a distributor of a broad portfolio of custom and standard hardware and component products for original equipment manufacturers, as well as maintenance, repair and operations applications. Monroe Engineering serves customers across a wide range of end markets including aerospace, defense, medical, transportation, consumer goods, building products, and other diversified industrial markets. Monroe Engineering was established in 1968 and is headquartered in Rochester Hills, Michigan.

Sell -