M&A Deal Summary

Windstream Acquires LDMI Telecommunications

On July 28, 2005, Windstream acquired communications company LDMI Telecommunications from Wind Point Partners, Stonehenge Partners and Primus Capital

Acquisition Highlights
  • This is Windstream’s 1st transaction in the Communications sector.
  • This is Windstream’s 1st transaction in the United States.
  • This is Windstream’s 1st transaction in Michigan.

M&A Deal Summary

Date 2005-07-28
Target LDMI Telecommunications
Sector Communications
Buyer(s) Windstream
Sellers(s) Wind Point Partners
Stonehenge Partners
Primus Capital
Deal Type Add-on Acquisition

Target

LDMI Telecommunications

Southfield, Michigan, United States
LDMI Telecommunications, Inc. is an integrated communications provider serving small and mid-sized businesses in the Great Lakes region. Its services include local and long distance phone service, high speed sDSL Internet connectivity and enhanced products such as conference calling and voice mail.

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Buyer(S) 1

Buyer

Windstream

Little Rock, Arkansas, United States

Category Company
Founded 2006
Sector Communications
Employees11,080
Revenue 5.1B USD (2019)
DESCRIPTION
Windstream office in downtown Greenville, South Carolina.
Windstream office in downtown Greenville, South Carolina.

Windstream is a provider of advanced network communications, including cloud computing and managed services, to businesses nationwide. The company also offers broadband, phone and digital TV services to consumers primarily in rural areas. Windstream was founded in 2006 and is based in Little Rock, Arkansas.


DEAL STATS #
Overall 1 of 14
Sector (Communications) 1 of 13
Type (Add-on Acquisition) 1 of 13
State (Michigan) 1 of 1
Country (United States) 1 of 14
Year (2005) 1 of 1
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2006-10-01 Valor Communications Group

Irving, Texas, United States

Valor Communications Group, Inc., through its subsidiaries, provides telecommunication services to residential, business, and government customers in rural communities in the southwestern United States.

Buy -

Seller(S) 3

SELLER

Wind Point Partners

Chicago, Illinois, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1984
PE ASSETS 7.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Wind Point Partners is a private equity firm focused on acquisitions of mid-sized companies operating in the business services, consumer products, healthcare services, and industrial products sectors. Wind Point looks to invest $60 to $130 million in companies valued up to $500 million. Prospective transaction types include leveraged buyouts, recapitalizations, industry consolidations, and growth capital financings. Wind Point Partners began investing in 1984 and is based in Chicago.


DEAL STATS #
Overall 8 of 56
Sector (Communications) 2 of 3
Type (Add-on Acquisition) 6 of 26
State (Michigan) 2 of 2
Country (United States) 8 of 51
Year (2005) 2 of 3
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2005-05-10 MBI Benefits

Waltham, Massachusetts, United States

MBI Benefits, Inc. is a provider of electronic payment services for employee benefit and consumer-directed health care (CDHC) accounts. MBI Benefits Card allows employees to pay for eligible expenses at pharmacies, physician offices, vision service facilities and other healthcare businesses using funds from Flexible Spending Accounts, Health Savings Accounts and Health Reimbursement Arrangements (HRAs).

Sell $145M
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2005-08-04 Eschelon Telecom

Minneapolis, Minnesota, United States

Eschelon Telecom, Inc. is a facilities-based competitive communications services provider of voice and data services and business telephone systems in 45 markets in the western United States.

Sell -
SELLER

Stonehenge Partners

Columbus, Ohio, United States

Investor Investor Investor Investor Investor


Category Mezzanine Finance Firm
Founded 1999
PE ASSETS 1.0B USD
Size Large
Type Sector Agnostic
DESCRIPTION

Stonehenge Partners is a private equity firm that seeks equity and mezzanine investments in lower middle-market companies with at least $10 million in sales. Stonehenge looks to invest ranging from $10 million to $50 million of equity/junior capital to support management buyouts, leveraged acquisitions, recapitalizations, and growth capital financings. Stonehenge prefers businesses operating in manufacturing, distribution, business services and healthcare. Stonehenge avoids investing in real estate, oil and gas, high technology and 'industries that are susceptible to a high degree of cyclicality'. Stonehenge was formed in 1999 and is based in Columbus, Ohio.


DEAL STATS #
Overall 5 of 38
Sector (Communications) 1 of 1
Type (Add-on Acquisition) 2 of 17
State (Michigan) 1 of 4
Country (United States) 5 of 37
Year (2005) 2 of 3
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2005-04-01 West Point Products

Valley Grove, West Virginia, United States

West Point Products is an organization is "To be the supplier of choice for Premium Replacement Imaging Supplies and related services that add value to our customers." In support of this goal, West Point Products aims to be the most customer-friendly organization in the imaging industry, acknowledging the fact that our customers deserve to do business with a supplier that treats them with respect and integrity, making their daily lives easier.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2005-08-17 Carlton-Bates

Little Rock, Arkansas, United States

Carlton-Bates Co., Inc. is a distributor of automation controls and electronic and electromechanical products.

Sell -
SELLER

Primus Capital

Cleveland, Ohio, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1983
PE ASSETS 900M USD
Size Middle-Market
Type Sector Agnostic
DESCRIPTION

Primus Capital is a private equity firm focused on investing in established companies in the business services, healthcare and education industry sectors. Primus looks for established, high-growth companies with strong management and predictable/recurring revenues. The Firm will consider both control and minority positions and has a target investment size of $15 to $70 million. Prospective transaction types include growth equity financings, recapitalizations, and management-led buyouts. Primus Capital was formed in 1983 and is based in Cleveland, Ohio.


DEAL STATS #
Overall 3 of 46
Sector (Communications) 1 of 4
Type (Add-on Acquisition) 1 of 28
State (Michigan) 1 of 1
Country (United States) 2 of 45
Year (2005) 1 of 2
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2005-03-30 Focus Receivables Management

Marietta, Georgia, United States

Focus Receivables Management is a collections company with an outstanding performance track record. We have a saying at Focus: Taking Care of Business First, meaning take good care of our customers and everything else takes care of itself.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2005-07-29 Golf Galaxy

Coraopolis, Pennsylvania, United States

Golf Galaxy owns and operates golf stores. It offers golf equipment, including golf clubs, balls, bags/carts/travel, grips/shafts/clubheads, clubmaking tools and supplies, and GPS/range finders. The company also provides golf wear products, such as golf apparels, shoes, gloves, hats, eyewear, and jewelry/watches; golf accessories, including head covers, golf tees, and divot tools; and golf gifts. Golf Galaxy was formed in 1990 and is based in Coraopolis, Pennsylvania.

Buy -