U.S. private equity firm Gores Group has sold Millennium1 Solutions, a Toronto-based business process outsourcing solutions provider, to Dimension Data plc, a South African information and communications technology services and solutions business. No financial terms were disclosed. Millennium provides contact centre, credit card, and back office and administration services to Canadian customers in the financial services, insurance and retail sectors. It will be combined with Merchants, Dimension Data’s customer management outsourcing solutions affiliate. Gores Group acquired Millennium in 2013, carving it out of Canadian financial technology company DH Corp.
DH Corp was acquired last year by U.S. private equity firm Vista Equity Partners for $4.8 billion.
The Gores Group Sells Millennium1 Solutions to Dimension Data plc
LOS ANGELES — The Gores Group today announced it has sold Millennium1 Solutions (“Millennium” or the “Company”) to an affiliate of Dimension Data plc (“Dimension Data”), a global information and communications technology services and solutions provider. The Gores Group acquired Millennium in 2013 through its Gores Small Capitalization Partners investment fund.
Headquartered in Toronto, Millennium is a leading business process outsourcing (“BPO”) solutions provider in Canada, and has a strong track record of providing end-to-end services to many premier Canadian clients in the financial services, insurance, and retail sectors. After the closing, Millennium will be combined with Merchants, a wholly-owned subsidiary of Dimension Data which provides customer management outsourcing solutions.
“The transformation of Millennium since 2013 has been astounding,” said Anthony Chirikos, Managing Director of The Gores Group. “We’ve thoroughly enjoyed working alongside Tom Band, Millennium’s CEO, and the Company’s talented leadership team to complete a complex carve-out of the business, divest non-core assets, and invest heavily in people, technology and infrastructure. Millennium has grown rapidly, added employees and facilities, and matured into a premier Canadian BPO services provider. We are confident that Millennium will continue to prosper alongside the Dimension Data and Merchants teams.”
Don Moffatt, Chairman of Millennium’s Board of Directors, added, “Gores has been an outstanding partner for Millennium, and I appreciate that they rolled up their sleeves and helped our managers build the Company into the strong business that it is today. Dimension Data and Merchants are a great fit for Millennium, and our customers and employees are in good hands and can expect a smooth transition.”
Petsky Prunier acted as the sole financial advisor to Millennium in this transaction.
About The Gores Group
The Gores Group, founded in 1987 by Alec Gores, is a global investment firm focused on acquiring controlling interests in mature and growing businesses which can benefit from the firm’s operating experience and flexible capital base. Over its 30-year history, The Gores Group has become a leading investor having demonstrated a reliable track record of creating value in its portfolio companies alongside management. Headquartered in Los Angeles, The Gores Group also maintains an office in Boulder, Colorado. For more information, please visit www.gores.com.
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