The HiGro Group LLC said March 20 it acquired a majority of DRS Imaging Services LLC. Financial terms weren’t announced. DRS, of Springfield, New Jersey, provides business process outsourcing and document technologies services. OFS Capital Corp and Modern Bank provided debt. Ice Miller LLP served as legal adviser to HiGro, while Lentz & Gengaro LLP advised DRS.
NEW YORK, NY., March. 20, 2018 /PRNewswire/ — The HiGro Group LLC (“HiGro”), through its affiliate The HiGro Group Fund II, LLC, has acquired majority control of DRS Imaging Services, LLC (“DRS”), a leading provider of a Business Process Outsourcing (“BPO”) and Document Technologies Services (“DTS”). Financial terms of the transaction were not disclosed. DRS management will retain a minority stake in the business. The current management team, business model and employee base are not expected to change with this investment. In fact, the employee base is expected to grow with further expansion of the business model. The Company’s headquarters will remain in Springfield, New Jersey.
Founded in 1964, DRS provides BPO and DTS solutions to clients across the corporate, education, government and healthcare verticals. DRS offers an array of technologies and services that include on-site revenue cycle management, image conversion and consulting. The Company manages a client roster of over 800 customers nationwide and a base of over 150 employees.
“We are thrilled to begin our partnership with HiGro as the team delivers its vast network and significant resources to drive our business to the next level. I am excited about the possibilities within the next phase of DRS. Our quality of clients, tenure of relationships and management team connectivity is quite unique. I am also proud of our employees and am eager to work together to create the nation’s largest independent BPO and DTS provider”, said Clifford Newman, Chief Executive Officer of DRS.
“This marks HiGro’s second platform acquisition in less than 18 months. As we only invest in well-established, high potential companies, we are ecstatic about our new partnership with Cliff and the team. During our proprietary discussions, we have found the company culture to be world class, which allows for an impeccable track record of delivery and service”, stated Ernest Lyles, HiGro Principal and Co-Founder.
“We have also compiled an impressive network of limited partners and industry operators who will be very supportive to the growth of DRS going forward. We look forward to working with the company’s existing clients and those in its pipeline to drive job creation in local communities” stated Nick-Jean Baptiste, HiGro Principal and Co-Founder.
Ice Miller LLP served as legal advisor to HiGro. OFS Capital Corporation (NASDAQ: OFS) and Modern Bank led the debt financing for the transaction. Lentz & Gengaro, LLP served as legal advisor to DRS.
About The HiGro Group
Based in New York, The HiGro Group is a private equity investment firm focused on impact investing in the business and technology services sector. The HiGro Group is minority owned and controlled. The HiGro Group enlists its investor base of ultra high net worth individuals and family offices to structure and invests in traditional buy-outs of well-established companies with potential for high growth. For more information, please visit: www.higrogroup.com
About Modern Bank
Modern Bank is a privately owned, entrepreneurial bank that provides flexible, competitive and reliable senior debt financing solutions to commercial companies. Modern Bank’s experienced bankers specialize in working with lower middle-market companies and their owners to provide cash flow based financing solutions. For more information, please visit: www.modernbank.com or contact Carl Tiu at email@example.com
About OFS Capital Corporation (NASDAQ: OFS)
OFS Capital Corporation is a business development company that provides debt and minority equity capital solutions to middle-market companies. The firm offers flexible financing to business owners and proven management teams, helping them achieve targeted growth, liquidity and ownership transition goals. For more information, please visit www.ofscapital.com.