CIP Capital has made an undisclosed investment in CARCO Group Inc. Based in Holtsville, New York, CARCO is a provider of human capital management and risk management solutions.
September 9, 2016 – CIP Capital has completed an investment in CARCO Group, Inc. (“CARCO” or the “Company”), a leading provider of tech-enabled and compliance-driven human capital management and risk management solutions. The Company’s core solution offering provides robust onboarding and pre-employment background screening services to the large enterprise market. CARCO currently serves clients across the financial services, transportation, and media and telecom end-markets, among others. CARCO was founded in 1977 and is headquartered in Holtsville, NY.
“We are delighted to announce this strategic partnership with CIP Capital for the next stage of our company’s growth,” said James Owens, CEO of CARCO. “CARCO has been setting the standard for accurate and reliable background screening services since our inception almost 40 years ago. By providing a comprehensive and technology-driven solution, CARCO has become the recognized leader in serving corporations throughout the employee hiring process. CIP Capital has demonstrated a deep understanding of our business model and how CARCO uniquely serves our valued clients to meet their human capital management and risk management needs. We look forward to making continued investments that will further develop and expand our solution offering in order to better serve our client base.”
“CARCO represents an exciting opportunity for CIP Capital in the growing human capital management market,” said Scott Marden, Managing Partner of CIP Capital. “We believe large corporations will continue to seek best-in-class providers to assist with risk management and compliance solutions across the employee lifecycle.” CARCO represents CIP Capital’s second investment in the human capital management space. Bobby Kelly, Managing Director of CIP Capital, added: “CARCO has differentiated itself in the market through its high-quality and accurate processes, commitment to regulatory compliance, and leading technology capabilities. We look forward to partnering with Jim and the CARCO management team to build on their strong client relationships and stellar reputation.”
Sidley Austin LLP served as legal counsel to CIP Capital. JEGI served as financial advisor and Seward & Kissell LLP served as legal counsel to CARCO.
CARCO is a leading provider of tech-enabled and compliance-driven human capital management and risk management solutions. The company’s core onboarding and preemployment background screening offering provides clients with a high quality, regulatory compliant, and tech-enabled solution. CARCO currently serves clients across the financial services, transportation, and media and telecom end-markets, among others, and offers transportation clients a comprehensive, industry-focused solution through its Driver iQ branded offering. CARCO is headquartered in Holtsville, NY and has office locations in Spring Lake, NC, Tulsa, OK, and Tustin, CA. For more information please visit: www.carcogroup.com.
About CIP Capital:
CIP Capital is a New York based private equity firm focused on investing in growth-oriented, middle-market companies across the Business Information and Tech-Enabled Services markets in North America. The fund seeks to invest in proven, profitable businesses that provide their customer bases with critical information, proprietary content, and value-added outsourced services. Targeted sectors for investment include business services, marketing services, and knowledge services. For more information please visit: www.cip-capital.com.