Mosaic Capital Partners LLC has made an undisclosed investment in the employee stock ownership plan buyout of ETAK Systems LLC. Brookwood Associates provided financial advice to ETAK on the transaction. Based in Charlotte, North Carolina, ETAK is an outsourced service provider to wireless carriers.
Charlotte-based Mosaic Capital Partners, LLC (“Mosaic”) completed its third investment after structuring and funding the leveraged employee stock ownership plan (“ESOP”) buyout of ETAK Systems, LLC (“ETAK” or the “Company”). ETAK, also based in Charlotte, NC, is a leading outsourced service provider to wireless carriers for scheduled maintenance and installation activities for wireless communication infrastructures in six primary regions throughout the United States.
Mosaic partner Steve Buchanan stated, “Our team at Mosaic was honored to win a seat at ETAK’s table, which culminated from our expertise in ESOPs. Our experience and knowledge of ESOPs allowed us to partner with management and construct the acquisition of ETAK, creating a long-term wealth creation opportunity for the Company’s management and employees via the ESOP structure.”
Keith Butcher, fellow Mosaic partner and co-founder of the middle market investment bank ButcherJoseph & Co., will facilitate a company-wide meeting later this month to educate ETAK’s employees on the ESOP structure and what it means for them.
ETAK’s CEO, Lee Priest, shared, “We are thrilled about our new relationship with Mosaic Capital. We’ve been working diligently the past couple of years to position ETAK for significant growth. When Mosaic educated the management team on ESOPs and how they work, we knew this would align extremely well with our culture, and as a service business it will be a very unique tool for recruiting and retaining key employees down the road.”
Brookwood Associates served as ETAK’s financial advisor during the transaction. Other funding sources included Enterprise Bank & Trust as well as a St. Louis family office. The transaction officially closed on January 21, 2015.
About Mosaic Capital Partners, LLC
Based in Charlotte, NC, Mosaic Capital Partners, LLC (“Mosaic”) is a private investment firm providing mezzanine debt and equity to privately held lower middle market companies. Mosaic employs traditional private equity buyout strategies along with the partners’ unique expertise in Employee Stock Ownership Plans (ESOPs) to help business owners achieve their liquidity, wealth transfer and ownership transition goals. Mosaic’s strategy is to partner with quality management teams at sound companies in stable industries to help drive value growth.
About ETAK Systems, LLC
ETAK Systems, LLC (“ETAK”) is a leading outsourced service provider to wireless carriers for scheduled maintenance and installation activities for wireless communication infrastructures in six primary regions throughout the U.S. Based in Charlotte, NC, ETAK’s primary wireless communication infrastructure services include reserve battery power installation/replacement, power plant upgrades and capacity-expanding radio installations for leading carriers. Specializing in a multitude of services related to communication infrastructure, ETAK also offers site reviews, location analysis, engineering audits, battery testing, small cell and distributed antenna system installation.
About ButcherJoseph & Co.
ButcherJoseph & Co. (“ButcherJoseph”) is an investment bank headquartered in St Louis with coverage in Chicago, Washington, DC, and Charlotte, NC. ButcherJoseph provides investment banking advisory services to middle market companies. With more than $5 billion in successfully completed Employee Stock Ownership Plan (“ESOP”) transactions, ButcherJoseph & Co. is known as a leader in the ESOP field.