The Riverside Company has merged its portfolio company Alchemy Systems, which provides training for food industry employees, with Catalyst Awareness, which produces employee awareness communications programs for retailers. Deerpath provided financing for the transaction, Jones Day served as Riverside’s legal counsel, Deloitte advised Riverside on financial due diligence and West Monroe Partners advised on technology diligence.
The Riverside Company has sponsored the merger of Catalyst Awareness (Catalyst) of Guelph, Ontario with its Texas-based company Alchemy Systems. Catalyst produces employee-awareness communications programs for retailers. The acquisition adds a new dimension to Alchemy Systems, which specializes in similar training for food industry employees.
Catalyst’s clients include Fortune 500 companies and represent more than 500,000 employees. Catalyst helps ensure that employees follow companies’ standard policies and procedures, many of which are governmentally mandated. Catalyst programs provide more than six million training sessions every year.
“Catalyst delivers proven training that produces tangible bottom-line results,” said Riverside Managing Partner Loren Schlachet. “This addition delivers a new customer vertical, but also proven techniques and capabilities that will benefit customers of both Alchemy and Catalyst.”
Catalyst has more than 10 large, national retail customers, and offers a content library covering 100 topics ranging from workplace safety and loss prevention, to customer service. Particularly effective is its shrinkage reduction programs, which have helped reduce shrinkage by 30% on average within one year of implementation.
Catalyst creates communication packages that blend web-based interactive media with printed media. The setup requires no technology investment for clients. All of Catalyst’s digital content complies with the Shareable Content Object Reference Model (SCORM) requirements for e-learning and available in English, Spanish and French.
“It’s easy to see why Catalyst has a healthy portfolio of loyal blue-chip customers,” said Riverside Partner Brian Sauer. “They have a compelling value proposition and a proven track record of results.”
The combination with Alchemy provides opportunities for each company to expand capabilities and customer bases.
“There are strong opportunities to expand each company,” said Alchemy CEO Jeff Eastman. “We are excited about investing in the growth of the combined company to improve service offerings, expand our capabilities and ultimately drive positive outcomes for our clients.”
Working with Schlachet and Sauer on the transaction for Riverside were Assistant Vice President Stephen Rice, Associate Ryan Philyaw, and Operating Partner Rex Niles. Associate Director, Origination Cheryl Strom originated the deal for Riverside.
Deerpath provided financing for the transaction, Jones Day served as Riverside’s legal counsel, Deloitte advised Riverside on financial due diligence and West Monroe Partners advised on technology diligence.
The Riverside Company
The Riverside Company is a global private equity firm focused on acquiring growing businesses valued at up to $250 million (€200 million in Europe). Since its founding in 1988, Riverside has invested in more than 320 transactions. The firm’s international portfolio includes more than 70 companies.
Alchemy is a global leader of innovative technologies and services designed to align employee behavior with a company’s quality and safety commitments. From farm to fork, we focus on building successful safety cultures for large, diverse workforces. Over the last decade, we have partnered with our customers to increase productivity, ensure regulatory compliance, foster safe working environments, and produce quality products. For more information please visit Alchemysystems.com.
Catalyst changes employee behavior with comprehensive loss prevention, health & safety communication programs within the Retail and Supply Chain Industry. The company offers communications to create effective employee awareness and deliver results. For more information please visit Catalystawareness.com