Alliance Data Systems Buys PE-Backed Hyper Marketing

Alliance Data Systems Corp. has acquired private equity-backed Hyper Marketing Inc. Hyper Marketing is a portfolio company of Lake Capital Partners II. Terms of the deal were not released.


Hyper Marketing Inc. (HMI), an integrated performance marketing agency network and portfolio company of Lake Capital Partners II, has been acquired by Alliance Data Systems Corporation, as previously announced on November 9, 2012.

HMI partners with leading brands to deliver measurable, tangible and accountable business results. It provides clients with a comprehensive offering built around digital marketing, direct marketing, data, promotions, shopper marketing, Hispanic marketing, and media buying and planning.

Lake Capital launched the HMI initiative with the 2006 acquisition of Haggin Marketing. Lake Capital and management collaborated to build HMI through acquisitions and organic growth into a full-service, multi-channel integrated marketing agency. HMI is headquartered in the San Francisco Bay Area, with offices in Chicago, Atlanta, and Albany, New York.

“Lake Capital was delighted to work closely with management to build HMI, a world-class, client-focused enterprise. This initiative represents well our firm’s mission to partner with entrepreneurs and management teams to build leading service-based companies through strategically-directed organic and acquisition-enhanced growth. We thank and congratulate the HMI team and Alliance Data, and look forward to their continuing success,” said Lake Capital co-founder Terry Graunke.

“The sale of Hyper Marketing to Alliance Data is the culmination of a truly collaborative partnership with the team at Lake Capital. Lake brought a deep operational understanding of the marketing services space and a desire to invest in strategic growth that enabled the Hyper Marketing team to build the first ever holding company in transactional marketing and the largest independent marketing services agency in the U.S.,” said HMI CEO Zain Raj.

About Lake Capital

Lake Capital is a private equity firm that focuses on investments in service-based enterprises. The firm currently manages more than $1 billion in equity commitments and seeks to build leading services companies through organic and acquisition-enhanced growth. More information about Lake Capital is available at .

About Hyper Marketing

Hyper Marketing is a global company and the largest independent marketing-services network in North America. The Company has 1,100 employees in 23 offices, with expertise in digital marketing, direct marketing, data, promotions, shopper marketing, Hispanic marketing, and media buying and planning. HMI focuses on driving transactions by responding to changing consumer behavior in a hyper-connected world. HMI companies partner with CMO’s of many of the world’s best known brands including Dell, eBay, Kellogg’s, Office Depot, The Home Depot and Unilever to develop integrated programs that deliver profitable results.