Secondary Buyout • Information Technology

The Edgewater Funds and DigitalBridge Group Acquire DataBank

On July 13, 2016, private equity firm The Edgewater Funds and infrastructure investor DigitalBridge Group acquired information technology company DataBank

Acquisition Context
  • This is The Edgewater Funds’ 7th and DigitalBridge Group’s 2nd transaction in the Information Technology sector.
  • This is The Edgewater Funds’ 40th and DigitalBridge Group’s 2nd transaction in the United States.
  • This is The Edgewater Funds’ 5th and DigitalBridge Group’s 2nd transaction in Texas.
Investment Fate
  • DataBank was sold to a financial buyer in 2016.
  • DataBank was sold to a consortium of financial buyers in 2020.

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M&A Deal Summary

Date July 13, 2016
Target DataBank
Sector Information Technology
Buyer(s) The Edgewater Funds
DigitalBridge Group
Deal Type Secondary Buyout

Target Company

DataBank

Dallas, Texas, United States
DataBank is a provider of an enterprise-class data center, cloud, and interconnection services, offering customers 100% uptime availability of data, applications, and infrastructure. DataBank’s managed data center services are anchored in world-class facilities. DataBank’s customized technology solutions are designed to help customers effectively manage risk, improve their technology performance and allow them to focus on their core business objectives.
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Buyers Overview 2

Buyer

The Edgewater Funds

Chicago, Illinois, United States

Category Private Equity Firm
Founded 1991
PE ASSETS 2.8B USD
Size Large
Type Sector Agnostic
DESCRIPTION

The Edgewater Funds is a private equity firm that targets investments in profitable, middle-market growth companies. Target companies typically have revenues of $20 to $500 million in revenue and EBITDA of $5 to $30 million. The Firm will consider minority and control investments in the form of growth capital financings and traditional buyouts. Edgewater looks for North American businesses operating in a variety of industries. Sectors of interest include business services; financial and government services; consumer products and services; healthcare; IT services and software; and industrial/manufacturing. Edgewater was formed in 1991 and is based in Chicago, Illinois.


Deal Context for Buyer #
Overall 41 of 53
Sector: Information Technology 7 of 8
Type: Secondary Buyout 2 of 2
State: Texas 5 of 8
Country: United States 40 of 51
Year: 2016 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2015-07-23 ExteNet Systems

Frisco, Texas, United States

ExteNet Systems is a designer and operater of distributed networks for use by wireless carriers and property owners in key markets. Using distributed antenna systems (DAS), remote radio heads (RRH), small cells, Wi-Fi, software-defined network (SDN) based Evolved Packet Core (EPC) and other technologies, ExteNet deploys solutions to enhance wireless service and network performance across both outdoor and indoor environments. ExteNet Systems was founded in 2002 and is based in Frisco, Texas.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2018-03-12 Bolder Healthcare Solutions

Louisville, Kentucky, United States

Bolder Healthcare Solutions LLC is a privately-held provider of revenue cycle management (RCM) solutions to hospitals, physician practices and other specialist healthcare organizations in the United States. RCM software and processes integrate and automate healthcare administrative and medical data to ensure benefit eligibility and accurate billing and collections, greatly reducing the time between delivery of service to payment received. Louisville, Kentucky-based Bolder Healthcare Solutions is one of the fastest growing RCM companies, serving many of the largest U.S. health systems. Their RCM offerings will further expand Cognizant's leading healthcare consulting, IT and business process services into more hospitals, hospital outpatient departments, physician practices, and other specialty care providers.

Sell -
Buyer
DESCRIPTION
DigitalBridge's headquarters in Boca Raton, Florida.
DigitalBridge's headquarters in Boca Raton, Florida.

DigitalBridge Group is a global digital infrastructure investment firm. The Firm looks to acquire a variety of assets and operating businesses spanning cell towers, data centers, fiber, small cells, and edge infrastructure. DigitalBridge is headquartered in Boca Raton, Florida.


Deal Context for Buyer #
Overall 4 of 23
Sector: Information Technology 2 of 6
Type: Secondary Buyout 1 of 7
State: Texas 2 of 2
Country: United States 2 of 10
Year: 2016 2 of 2
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2016-01-01 StrattoOpencell

London, United Kingdom

StrattoOpencell is a provider of DAS and small cell networks for indoor mobile coverage. Stratto provides a solution to enterprise customers, industry verticals, property developers, owners, and managers. Stratto's executives are veterans of the industry and have significant expertise in launching and scaling telecom, technology, network, and service companies. StrattoOpencell was founded in 2014 and is based in London, England.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2017-03-17 Andean Telecom Partners

Hollywood, Florida, United States

Andean Telecom Partners is a privately-owned provider of wireless communications infrastructure in the Andean region. Andean Telecom Partners owns, operates, and manages telecommunications towers, rooftops, small cells, and DAS (distributed antenna systems) solutions for mobile operators. Andean Telecom Partners was founded in 2011 and is based in Hollywood, Florida.

Buy -