Atlanta Equity Recaps Empower Software

Atlanta Equity Fund has sponsored a recapitalization of Empower Software Solutions, an Orlando, Fla.-based provider of HR management software. No financial terms were disclosed, except that Chatham Capital provided a $31 million junior secured facility.

PRESS RELEASE

Atlanta Equity Fund, LP (“Atlanta Equity”) announced today it has completed the recapitalization of Empower Software Solutions (“Empower” or the “Company”). Orlando-based Empower is an emerging leader in the human resources management solutions (“HRMS”) industry with a focus on mid to large enterprise employers (1,000+ employees) with over 100 of the Fortune 500 as clients. The Company offers platform solutions across HR Management/Payroll, Time and Attendance, Scheduling and Tax Compliance. Empower represents the only HRMS industry participant to offer and own all of its intellectual property, allowing clients the flexibility of Outsourcing, Hosting and/or Licensing these core HRMS solutions. Empower was founded in May 2007 by industry veteran, Seth Bernstein, who has assembled both a strong management team with deep HRMS experience and a complete product suite. Mr. Bernstein will continue to lead Empower’s market share expansion in the $85+ billion global HRMS market.

 

Atlanta Equity Chairman, A.D. (“Pete”) Correll, who will also be Chairman of the Empower Board of Directors commented, “My partners and I look forward to working closely with the Empower management team and the exceptional Board of Directors that Seth Bernstein has assembled.” Mr. Bernstein, CEO of Empower added, “The investment by Atlanta Equity provides the capital to fuel the Company as it continues to delight its existing clients, invest in world-class technology and aggressively grow its client base while establishing the Company as a powerful change-agent within the HRMS market. The Atlanta Equity partners have extensive experience guiding growth companies into becoming market leaders, and we intend to take advantage of their expertise.” Robert Annas, Atlanta Equity Partner added, “Payroll processing, workforce management and tax compliance are core, critical functions of any business, irrespective of macro economic conditions. Empower has a unique opportunity to fill a void in the market with a fully integrated product suite that can be deployed as best suited to the client.”

 

Rogers & Hardin LLP served as legal counsel to Atlanta Equity. Empower was represented by Rogin Nassau LLC as legal counsel with Chatham Capital and Hyde Park Capital Advisors, LLC serving as financial advisors. In conjunction with the recapitalization of Empower, Chatham Capital provided a $31.0 million junior secured facility.

 

About Atlanta Equity

 

Atlanta Equity is a private equity firm with $109 million in capital under management, focused on making investments in growth companies primarily in the Southeast. Established in 2007, Atlanta Equity focuses on deploying capital in lower middle market companies with revenues between $20 million and $200 million and EBITDA greater than $5 million. The firm particularly favors investments in business and healthcare services, specialty manufacturing, technology, consumer products and services and selectively retail.

 

For more information please visit www.atlantaeq.com.

 

About Empower Software Solutions

 

Headquartered in Orlando, FL, Empower Software Solutions is an international provider of innovative and state-of-the-art human resources software and services through Outsourcing, Hosting and/or Licensing solutions. Empower was created following the acquisition of Tesseract, Unitime, Business Analytics Corporation (BAC) and Federal Liaison Systems (FLS), thus creating a combined entity that is the next generation of end-to-end strategic human resources, payroll, workforce management and tax compliance solutions. With a client roster representing both medium and large-size corporations — including some of the most prestigious of The Fortune 1000 — Empower has rapidly grown to become an industry leader.

 

Empower delivers one of the best suites of human resources management systems available in the industry today, including payroll processing, workforce management, time and attendance, and tax and compliance. Backed by the latest technology, the Company currently represents more than 10 million employees and produces over 100 million checks annually.

 

For more information please visit www.empowersoftware.com.