LLR Partners has made a majority investment in Stratix, a Norcross, Georgia, company focused on Managed Mobility Services (MMS). The Philadelphia private equity firm will announce the deal later this morning. The previous investor, Tailwind Capital, remains a minority shareholder in the business.
The increasing volume and complexity of mobile hardware and software – combined with labor shortages that are making it harder to manage them effectively – is forcing more companies to rely on outsourcing the configuration, provision and support of their mobile devices, according to LLR. Stratix aims to help customers manage their entire mobile life cycle.
LLR principal Jesse Gray gave PE Hub an exclusive interview on the deal.
What’s driving LLR’s interest in MMS?
All businesses and sectors continue to undergo a digital operational transition as increased relevancy of mobile device use drives adoption. Stratix is at the heart of this proliferation by providing systems design, assisting with procurement, configuring devices, deploying devices and continuous life cycle management of the devices.
Talk about Stratix’s services
Stratix designs, deploys, manages and supports mobility solutions for education, healthcare, hospitality and enterprise business organizations. Stratix’s services are mission critical because they keep operations running. In today’s business environment, if a mobile device or peripheral is not operational it can degrade efficiency. For example, a pilot relies on her flight operation applications on her iPad. If her iPad is broken or lost, she needs a new one. If a student has a Chromebook that holds his lessons or homework, and it isn’t functioning, it’s mission critical to get that student a new device that same day so they don’t fall behind.
What opportunities are you seeing in this space?
The opportunities in the market are almost endless. We are seeing tremendous growth in the healthcare, education and quick-service restaurant categories. But adoption of mobile technologies is proliferating across all industries.
What is your growth strategy for Stratix?
The current team at Stratix is built to scale. We plan to continue to invest in similar avenues that they already have, including relentless focus on customer service, continued investment in Stratix’s proprietary technologies to allow customers to understand their mobile device deployments and device health and strategic acquisitions that allow Stratix to better deliver its customers.
Stratix’s customers are large and impressive enterprises with exacting standards. Stratix takes these standards very seriously and prides itself on stellar performance and honest communication with customers. Customers are also in the need of a partner and not a salesman. Stratix will always help them find the right solution.
How does this investment fit into LLR’s portfolio?
We have multiple portfolio companies that have aspects of Stratix’s offering. We have businesses that utilize hardware spread across large enterprises. We have businesses that help design and implement complex automation systems. And we have had great partnerships with outsourced IT services businesses.
Have you made an exit in this sector?
Not in this particular sector.