Gryphon acquires ERP software provider Rootstock

• Rootstock’s management team will be led by David Stephans, who as part of the transaction has been named CEO of the company
• Lightning Partners served as financial advisor to Rootstock while William Blair served as financial advisor to Gryphon
• Gryphon invests in the middle market

Gryphon Investors has acquired San Ramon, California-based Rootstock Software a provider of enterprise resource planning software to manufacturing, distribution, and supply chain organizations. No financial terms were disclosed.

Both Salesforce Ventures and Rootstock’s management team re-invested in the deal alongside Gryphon.

Jon Cheek, deal partner and head of Gryphon’s software group, said in a statement: “Rootstock’s ERP platform provides best-in-class cloud software that improves the connectivity between companies and their customers, suppliers, and employees. We’re pleased to partner with Salesforce and the Rootstock management team to address the strong and increasing market demand for the company’s solutions.”

Rootstock’s management team will be led by David Stephans, who as part of the transaction has been named CEO of the company following his nine year tenure as an executive with Rootstock, while founder Pat Garrehy will join Rootstock’s board of directors alongside several industry veterans and operating advisors.

Lightning Partners served as financial advisor to Rootstock on the deal while Reed Smith served as legal advisor. William Blair served as financial advisor to Gryphon with Gibson Dunn providing legal advice.

Based in San Francisco, Gryphon invests in the middle market. The firm has managed over $9 billion of equity investments and capital since 1997. Gryphon targets making equity investments of $50 million to $300 million in portfolio companies with enterprise values ranging from approximately $100 million to $600 million.