J.C. Flowers buys Jefferson Capital

J.C. Flowers & Co LLC said March 26 that it has completed its buy of Jefferson Capital International. Flexpoint Ford LLC is the seller. Financial terms weren’t announced. Jefferson Capital, of St. Cloud, Minnesota, purchases and services consumer charged off and bankruptcy receivables including both secured and unsecured assets.

PRESS RELEASE

NEW YORK, NY, March 26, 2018 – J.C. Flowers & Co. LLC, a leading private investment firm dedicated to investing globally in the financial services industry, and its affiliates (“J.C. Flowers”) announced today that it has completed the acquisition of Jefferson Capital International (“Jefferson Capital””), one of the five largest purchasers and servicers of charged-off and bankruptcy consumer debt in the United States, from Flexpoint Ford, LLC. Terms of the transaction were not disclosed.

“The acquisition by J.C. Flowers will allow us to maintain a high level of service to our clients, expand our value-added service offerings and continue to invest in industry leading compliance practices,” said David Burton, President and CEO of Jefferson Capital. “We are excited to partner with J.C. Flowers, whose financial services expertise will be an asset as we expand upon our more than 15 years of consecutive growth. Our entire management team will remain in place and continue to lead the organization.”

“Jefferson Capital is a leader in its niche markets with solid growth potential and is committed to industry-leading compliance practices,” said Tom Harding of J.C. Flowers. “We are thrilled about collaborating with David Burton and their outstanding management team to extend the  reach of the business. We believe J.C. Flowers’ vast experience with financial services around the globe will help enhance Jefferson Capital’s services.”

Steve Begleiter, Managing Director of Flexpoint Ford, commented, “It has been a privilege to work with David Burton and his entire team at Jefferson Capital. Since we invested in Jefferson Capital in 2012, the team has done a tremendous job growing the business into an industry-leading platform with a diversified portfolio, strong client relationships and proprietary capabilities. We believe the Company is well positioned under J.C. Flowers to enter into its next chapter of growth, and we look forward to following the Company’s future success.”

Weil, Gotshal & Manges LLP acted as legal counsel to J.C. Flowers in connection with the transaction.  Keefe, Bruyette & Woods and SunTrust Robinson Humphrey acted as financial advisors and Kirkland & Ellis LLP acted as legal counsel to Jefferson Capital in connection with the transaction.  In conjunction with the closing of the acquisition, Jefferson Capital will amend its $250 million syndicated credit facility, led by CIBC.

About Jefferson Capital International
Founded in 2002, Jefferson Capital is one of the nation’s leading purchasers and servicers of consumer charged off and bankruptcy receivables including both secured and unsecured assets.  Jefferson Capital’s growing client base includesFortune 500 creditors, banks, telecommunications providers, credit card issuers, private student loan originators, and auto finance companies.  Jefferson Capital is headquartered in St. Cloud, Minnesota with additional operations in Minneapolis, Minnesota, Denver, Colorado and Basingstoke, United Kingdom. For more information on Jefferson Capital, visit www.jeffersoncapitalinternational.com.

About J.C. Flowers & Co. LLC
J.C. Flowers is a leading private investment firm dedicated to investing globally in the financial services industry. Founded in 1998, the firm has invested more than $15 billion of capital in 50 portfolio companies in 17 countries across a range of industry subsectors including banking, insurance and reinsurance, securities firms, specialty finance, and services and asset management. With approximately $6 billion of assets under management, J.C. Flowers has offices in New York and London. For more information, visit jcfco.com.

About Flexpoint Ford
Flexpoint Ford is a private equity investment firm that has raised more than $2.3 billion in capital and specializes in privately negotiated investments in the financial services and healthcare industries.  Since the firm’s formation in 2005, Flexpoint Ford has completed investments in more than 30 companies across a broad range of investment sizes, structures and asset classes.  Flexpoint Ford is headquartered in Chicago, Illinois. For more information about Flexpoint Ford, please visit www.flexpointford.com.