Renovus Capital Partners has sold its majority ownership stake in KSM Consulting, a consulting firm in data analytics, technology and digital transformation, and Tempus Nova, an IT service management company, to Investcorp. No financial terms were disclosed. Renovus has retained a “sizable” minority stake in KSMC.
WAYNE, Pa., Feb. 22, 2021 /PRNewswire/ — Renovus Capital Partners (“Renovus”), a Philadelphia-area private equity firm focused on investing in the knowledge and talent industries, announced today that it has sold its majority ownership position in KSM Consulting (“KSMC”), a leading consulting firm specializing in data analytics, technology and digital transformation, and Tempus Nova, a top Google cloud and collaboration partner, to Investcorp. Renovus has retained a sizeble minority interest and will continue to support KSMC in its future growth initiatives. The transaction represents Renovus’ fourth successful exit within a year from its highly successful second fund.
Founded in 2008 and headquartered in Indianapolis, KSMC delivers smart, custom solutions to the most complex challenges of more than 700 private and public sector organizations. This is done by leveraging deep expertise in data analytics, technology and digital transformation. The company draws on its experienced and highly skilled employee base of engineers, mathematicians, data analysts, and business professionals to craft innovative solutions, modernize business processes and drive performance improvements.
Renovus acquired KSMC in early 2019, representing the first institutional capital infusion into the business, and backed the talented management team led by Mark Caswell, who was promoted to Chief Executive Officer as part of the acquisition. In lockstep with Mark’s team, Renovus assisted the company through three acquisitions, Tempus Nova being one of them, expansion of KSMC’s customer base into new Federal and state agencies, and development of offices in three new states.
“We are proud of the greater than 200% revenue and EBITDA growth KSMC has achieved since our initial investment two years ago. Under Mark’s leadership, the Company has significantly grown its service offerings, customer base and geographical presence. In our view, the future has never looked brighter for KSMC and for that reason we are thrilled to continue our involvement with the Company,” said Atif Gilani, a Renovus Founding Partner.
“Renovus has been a valuable partner to KSMC, supporting our transition from original ownership, working through three acquisitions with us, and helping us deeply understand and actualize what it meant to build investor value,” said Mark Caswell. “We look forward to continue working with them as KSMC moves into our next phase of business as a national consulting firm.”
The transaction was supported by Guggenheim, DLA Piper, and Cherry Bekaert, Renovus’ financial, legal, and accounting advisors.
About Renovus Capital Partners
Founded in 2010, Renovus Capital Partners is a private equity firm specializing in the Knowledge and Talent industries. Renovus, from its base in the Philadelphia area, manages $600 million across several investment vehicles. The firm’s current portfolio includes over twenty U.S. based businesses specializing in educational technology and content, higher education, corporate learning and development, healthcare services and technology services. Renovus typically partners with founder led businesses, leveraging its industry expertise and access to debt and equity capital to make operational improvements, pursue tuck-in acquisitions and oversee strategic growth initiatives. More information can be found at www.renovuscapital.com.