PennSpring Capital has acquired Louisville, Kentucky-based Professional Systems Software & Technology, a software firm that provides data integration solutions for school districts and municipalities. No financial terms were disclosed.
LANCASTER, Pa. and LOUISVILLE, Ky., July 26, 2018 /PRNewswire/ — Professional Systems Software & Technology (PSST), a national software firm that provides data integration solutions for school districts and municipalities, announced today that it has been acquired by PennSpring Capital (PennSpring). PennSpring is a leading lower middle market private equity firm focused on companies with strong foundations, demonstrated potential and proven leadership, within highly fragmented industries.
“We are thrilled to partner with the PSST team to help them accelerate investments that will help fuel further innovation and enhance their product offerings,” said Lou Castelli, Managing Partner of PennSpring Capital. “For most school districts and municipalities – and even many corporations – the communication links between human resources, finance and payroll databases are negligible or non-existent. This results in gross inefficiencies that waste taxpayer and shareholder money. PSST brings down the walls between these silos, connecting disparate functions in an incredibly user-friendly fashion…saving real dollars for its customers in the process.”
Founded in 1990 by Larry and Connie Roach and based in Louisville, Kentucky, PSST has more than 300 K-12 customers across 24 states, and with its municipal and corporate offerings has nearly 800 customers in 42 states. Larry Roach, former PSST President and CEO, stated “PSST searched for a partner capable of elevating PSST and our clients to the next level while continuing our vision and mission. We found that partner in PennSpring Capital.”
“For nearly 30 years we have been at the forefront of systems efficiency for schools, cities and emerging growth companies,” said PSST’s President & CEO Carl Williams, who was recently promoted from within the company. Carl continued, “With PennSpring behind us we expect to further strengthen and extend our customer footprint, while also pursuing complementary product offerings that will enhance our bottom line – and that can bolster our already exceptional value to customers. Our customers can rest assured that our commitment to value, innovation, service and integrity will remain the same.”
Unique among lower middle market financial firms, PennSpring has a proven sales process for school districts and municipalities, having secured approximately 300 K-12 and 1,000 municipal contracts across its previous holdings – growing each by multiples before successful exits.
The transaction closed on July 20, 2018. American Fortune Mergers & Acquisitions acted as exclusive financial adviser to PSST and Slone & Benton PSC were its legal advisers. K&L Gates LLP provided legal counsel to PennSpring Capital.
PSST provides database integration solutions that help school systems, municipalities and businesses increase the efficiency and effectiveness of their human resources, finance and payroll functions. Its solutions are customizable and cloud-based, with desktop applications that are seamless and bi-directional, providing automated, real time data integration between systems. Learn more at www.psst.com.
About PennSpring Capital
PennSpring Capital unlocks liquidity, empowers growth and elevates executive careers. Based in Lancaster, Pennsylvania, PennSpring is a people-forward investment firm focused on lower middle market opportunities, investing in dynamic firms and helping evolve them to institutional scale. PennSpring’s Partners are entrepreneurs with firsthand experience in growing and positioning businesses. PennSpring engages at a deep level and applies its experience to elevate its partners’ businesses. Learn more at www.pennspring.com.