Harvest invests in HGGC-backed Integrity Marketing Group

HGGC has sold part of its stake in Integrity Marketing Group to Harvest Partners. HGGC and management are retaining control. Financial terms weren’t announced. Integrity Marketing, of Dallas, is a distributor of life and health insurance products to the senior market. HGGC invested in the company in 2016.


Integrity Marketing Group Welcomes Strategic Growth Investment

Harvest Partners Joins HGGC and Integrity Management
to Accelerate Growth of Senior Market Leader

DALLAS, PALO ALTO, Calif., and NEW YORK – August 28, 2019 – Integrity Marketing Group (“Integrity”), the nation’s largest independent distributor of life and health insurance products to the Senior Market, today announced it received a strategic growth investment from funds managed by Harvest Partners (“Harvest”), a New York-based private equity firm with a 38-year history of investing in middle-market companies. Current investors HGGC and the management team will continue to collectively control a majority equity stake in Integrity. Terms of the private transaction were not disclosed.
“We are very excited for Harvest Partners to join the Integrity family as we look to continue our pace of growth after three-straight years of organic and acquisitive expansion,” said Bryan W. Adams, Co-Founder and CEO of Integrity. “We believe Integrity has just begun to tap into its potential and adding an outstanding investor like Harvest Partners alongside HGGC will ensure we have the resources to help as many American seniors as possible through execution of our national partnership-based distribution strategy.”
Since HGGC’s investment in July 2016, Dallas-based Integrity has achieved 6x earnings growth and successfully integrated over 20 add-on acquisitions. Integrity has developed a national agent network, becoming the go-to-partner for all major senior market insurance carriers. Today, Integrity provides world-class products to over 215,000 independent agents throughout the United States and sells more than $2 billion in annualized premiums. Integrity’s unique product development and distribution capabilities provide insurance carriers with a partnership platform to produce optimal sales results, while maintaining a service culture that is unrivaled in the industry.
“Bryan and Integrity’s management team have done an incredible job growing the business into the undisputed leader in the senior market,” said Jay Wilkins, Partner at Harvest. “We look forward to a strong partnership with management and HGGC as we collectively drive Integrity’s next phase of growth.”
More on Harvest Partners’ growth investment in Integrity can be viewed in the following video: www.integritymarketing.com/partnership
“The winning culture at Integrity is based on a partnership-first mentality that ensures all stakeholders are aligned,” added Steve Carlson, Partner at Harvest. “We’re proud to be part of their team and believe further investment in technology and talent will position the business to continue its impressive trajectory.”
“Over the past three years we have enjoyed a highly successful and collaborative partnership with Bryan and his team of partners, who have surpassed our expectations and show no signs of slowing down,” said Steve Young, President and Co-Founder of HGGC, who will continue to serve as Chairman of the Board of Integrity.
“With Harvest Partners joining the existing group of management, Integrity partners and HGGC, we are confident that Integrity can replicate its success over the next three years and truly transform the industry,” added John Block, Partner at HGGC.
Goldman Sachs and Morgan Stanley served as financial advisors to Integrity and HGGC, while Evercore acted as financial advisor to Harvest Partners. Owl Rock Capital is acting as Administrative Agent and, together with Crescent Capital Group and Antares Capital, serve as Joint Lead Arrangers and Joint Bookrunners. Harvest Partners SCF provided additional financing.
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About Integrity
Integrity Marketing Group, headquartered in Dallas, Texas, is the nation’s leading independent distributor of life and health insurance products focused on serving the Senior Market. Integrity develops and distributes life and health insurance products with insurance carrier partners and markets these products through its distribution network, which includes other large insurance agencies throughout the country and over 215,000 independent agents. Integrity’s 500 employees serve almost 4 million clients. In 2019, Integrity will help insurance carriers place over $2 billion in new premiums. For more information, visit www.integritymarketing.com.

About Harvest Partners
Founded in 1981, Harvest Partners is a leading New York-based private equity investment firm that focuses on investments in middle-market companies in the business services & consumer, healthcare, industrial services, and manufacturing & distribution sectors. This strategy leverages Harvest Partners’ 38 years of experience in financing organic and acquisition-oriented growth companies. For more information, please visit www.harvestpartners.com.

About HGGC
HGGC is a leading middle-market private equity firm with $4.3 billion in cumulative capital commitments. Based in Palo Alto, Calif., HGGC is distinguished by its Advantaged Investing approach that enables the firm to source and acquire scalable businesses through partnerships with management teams, founders and sponsors who reinvest alongside HGGC, creating a strong alignment of interests. Over its history, HGGC has completed more than 130 platform investments, add-on acquisitions, recapitalizations and liquidity events with an aggregate transaction value of over $20 billion. More information, including a complete list of current and former portfolio companies is available at www.hggc.com.