- Engage was founded in 2011 by CEO Jay Starkman
- BofA Securities served as financial advisor to Engage while Piper Sandler & Co. served as financial advisor to Kohlberg
- Based in Mount Kisco, New York, Kohlberg invests in the middle market
Kohlberg & Company has agreed to acquire Engage PEO, a Fort Lauderdale, Florida-based provider of HR outsourcing solutions to small and mid-sized businesses across the U.S. No financial terms were disclosed.
As a result of this transaction, Engage PEO’s existing backer Lightyear Capital and the Engage management team will retain a minority investment.
Engage was founded in 2011 by CEO Jay Starkman.
“Kohlberg has studied the PEO industry and business model for over a decade, and the key drivers of growth for PEOs align squarely with the long-term themes within our Financial & Compliance Services Core Practice Area,” said Seth Hollander, a partner at Kohlberg & Company in a statement. “We look forward to collaborating with Jay and Lightyear to continue driving Engage’s industry leading organic growth and further strengthen its transformative M&A strategy.”
BofA Securities served as financial advisor to Engage and Davis Polk & Wardwell LLP served as legal counsel to Engage and Lightyear. Piper Sandler & Co. served as financial advisor to Kohlberg while Ropes & Gray LLP acted as legal counsel.
Based in Mount Kisco, New York, Kohlberg invests in the middle market.