M&A Deal Summary

The CapStreet Group and Stellus Capital Management Acquire TradePending

On February 15, 2021, private equity firms The CapStreet Group and Stellus Capital Management acquired internet software and services company TradePending

Acquisition Highlights
  • This is The CapStreet Group’s 4th and Stellus Capital Management’s 2nd transaction in the Internet Software and Services sector.
  • This is The CapStreet Group’s 33rd and Stellus Capital Management’s 21st transaction in the United States.
  • This is The CapStreet Group’s 1st and Stellus Capital Management’s 2nd transaction in North Carolina.

M&A Deal Summary

Date 2021-02-15
Target TradePending
Sector Internet Software and Services
Buyer(s) The CapStreet Group
Stellus Capital Management
Deal Type Recapitalization
Advisor(s) Portico Capital Securities (Financial)
Robinson Bradshaw (Legal)

Target

TradePending

Carrboro, North Carolina, United States
TradePending builds software for car dealerships that brings accuracy, transparency, and simplicity to both their customers and consumers alike. TradePending's solution leverages vehicle pricing data to enable digital retailing, optimize online conversions, and maximize profitability for trade-in vehicles. TradePending was founded in 2014 and is based in Carrboro, North Carolina.

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Buyer(S) 2

Buyer

The CapStreet Group

Houston, Texas, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1990
PE ASSETS 650M USD
Size Middle-Market
Type Sector Agnostic
DESCRIPTION

The CapStreet Group is a private equity firm that primarily invests in businesses that were previously owned by entrepreneurs, families or other non-institutional investors. CapStreet typically looks for control investment situations, and has a preference for businesses located in the Southwest US. CapStreet typically invests between $10 million and $25 million of equity in companies valued less than $150 million. The CapStreet Group was formed in 1990 and is based in Houston, Texas.


DEAL STATS #
Overall 33 of 38
Sector: Internet Software and Services M&A 4 of 6
Type: Recapitalization M&A Deals 16 of 18
State: North Carolina M&A 1 of 1
Country: United States M&A 33 of 38
Year: 2021 M&A 1 of 3
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2020-01-01 CRS Solutions

Houston, Texas, United States

CRS Solutions is a technology-enabled provider of comprehensive point-of-sale (“POS”) solutions to established single and multi-unit operators in the restaurant, retail, and other hospitality end markets. CRS delivers its highly customized front-of-the-house technology solutions through a recurring service and solutions model for merchants who have complex service needs. CRS Solutions was formed in 1972 and is based in Houston, Texas.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2021-09-09 SmartSights

Austin, Texas, United States

SmartSights provides data-driven analytics, reports, and notifications, and empowers industrial operations with clear insights for effective decision-making and action. By providing comprehensive visibility into critical infrastructure management, SmartSights enables customers to identify swift problem resolution, waste reduction, and cost efficiencies, helping to elevate operational performance. SmartSights is based in Austin, Texas.

Buy -
Buyer

Stellus Capital Management

Houston, Texas, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 2004
PE ASSETS 3.4B USD
Size Large
Type Sector Agnostic
DESCRIPTION

Stellus Capital Management is a provider of debt and equity capital to middle-market companies headquartered throughout the US and Canada. For credit commitments, Stellus looks to provide $10 to $50 million of capital to help support buyouts, acquisitions, recapitalization, growth opportunities, rescue financing, distressed situations, as well as bridge loans. Sectors' of interest for Stellus' credit practice includes business services, energy, general industrial, government, healthcare, software and specialty finance. Stellus' equity practice seeks to provide $20 to $100 million to small and mid-sized energy (upstream, oilfield services, midstream) companies. Stellus Capital was originally formed in 2004 as Laminar Direct Capital and operated as the direct investing unit of D.E. Shaw. The Group became independent in 2012. Stellus has offices in Houston, New York City, and Washington DC.


DEAL STATS #
Overall 21 of 86
Sector: Internet Software and Services M&A 2 of 4
Type: Recapitalization M&A Deals 5 of 10
State: North Carolina M&A 2 of 4
Country: United States M&A 21 of 83
Year: 2021 M&A 1 of 11
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2020-10-01 Cars Protection Plus

Murrysville, Pennsylvania, United States

Cars Protection Plus, Inc. is a provider of vehicle service contracts (“VSCs”) to independent and franchise dealerships throughout the United States. Cars Protection Plus was founded in 1998 and is based in Murrysville, Pennsylvania.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2021-03-10 MissionWired

Washington, District of Columbia, United States

MissionWired provides a full suite of integrated marketing solutions that connect clients with donors to improve digital fundraising results. MissionWired was founded in 2007 and is headquartered in Washington DC.

Buy -