GI Partners has entered into an agreement to acquire Daxko from Pamlico Capital in a recapitalisation transaction with management.
Terms of the transaction have not been disclosed.
Headquartered in Birmingham, Alabama, Daxko is a provider of mission critical software to member-based health and wellness organisations. Daxko helps customers achieve operational efficiency, deliver strong fiscal management, and engage their members in meaningful ways.
Pamlico acquired Daxko, in partnership with management, in February 2014, and has supported the company as it completed two acquisitions, added over 50 employees, and grew revenue by approximately 30 per cent per year.
“Pamlico has been a tremendous partner over the last several years. Their guidance as we developed and executed on key strategic growth initiatives has been invaluable,” says Dave Gray, Daxko’s chief executive officer. “We have truly enjoyed our partnership with Pamlico and want to thank them for their support.”
“Daxko was an outstanding investment for Pamlico and our limited partners. Dave Gray and his team did a tremendous job of generating strong organic growth and executing on strategic acquisitions to build a unique technology platform in the health and wellness sector,” says Art Roselle, a partner at Pamlico.
Daxko represents the first realisation from Pamlico Capital III, a USD650 million fund raised in 2013.
Daxko and Pamlico were advised by Harris Williams (financial advisers) and Troutman Sanders (legal adviser). Ropes & Gray served as GI Partners’ legal adviser while Evercore acted as financial advisor.
The closing of the transaction is subject to the expiration or termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvement Act of 1976.
