THL invests in System One

Thomas H. Lee Partners has agreed to acquire MidOcean Partners‘ stake in Pittsburgh-based System One, a provider of specialized workforce solutions and integrated services. No financial terms were disclosed. Credit Suisse provided financial advice to THL on the transaction while Harris Williams & Co. and Houlihan Lokey did likewise for System One and MidOcean Partners. The deal is expected to close in the fourth quarter of this year.


BOSTON & PITTSBURGH & NEW YORK–(BUSINESS WIRE)–Thomas H. Lee Partners, L.P. (“THL”), a leading private equity firm, today announced it has signed a definitive agreement to make a significant investment in System One, a leading provider of specialized workforce solutions and integrated services. The investment proceeds will be used to purchase the interests of middle market private equity firm MidOcean Partners (“MidOcean”), System One’s current investment partner, which invested in the Company in December 2012. Financial terms of the transaction were not disclosed.

Headquartered in Pittsburgh, Pennsylvania, System One is one of the largest professional staffing firms in the U.S. with over 6,000 employees serving the diversified engineering, clinical/scientific, IT, and legal markets. System One offers a full suite of specialty workforce solutions and integrated services focused on mission-critical, recurring human capital solutions, such as testing and inspection, non-destructive testing, staff augmentation, legal process outsourcing and eDiscovery, recruiting services, managed service provider (MSP) services, and vendor management services (VMS).

“We have very much enjoyed the backing by MidOcean, whose deep industry expertise and relationships have helped us significantly expand our service offerings and client base,” said Troy Gregory, Chief Executive Officer of System One. “As we enter the next phase of our growth, we are thrilled to announce our new partnership with THL, who as seasoned investors in our industry, share System One’s commitment to our customers, and have the experience and resources to support our efforts to expand our share in key markets.”

“System One is a leader in the professional staffing industry, and Troy, COO Greg Lignelli, and their entire team have built a fantastic company that serves a variety of markets and offers a robust array of specialized, mission-critical workforce solutions,” said Josh Bresler, Managing Director at THL. “System One’s excellent track record of growth, highly skilled employees, attractive end markets, and history of developing strong customer relationships make this an exciting investment opportunity for THL. We look forward to providing our additional resources and expertise, as we partner with the System One team to propel the Company’s continued growth and success.”

Elias Dokas, Managing Director at MidOcean, said, “Since we first invested in System One four years ago, the Company has realized exceptional growth – organically and through the completion of four add-on acquisitions – nearly tripling EBITDA during this period. It has been a pleasure working with Troy and the talented System One team and we are confident that the Company is poised for continued success with THL.”

Credit Suisse acted as Financial Advisor and Weil, Gotshal & Manges LLP acted as Legal Advisor to THL. Harris Williams & Co. and Houlihan Lokey acted as Financial Advisors, and Kirkland & Ellis LLP and Clark Hill PLC acted as Legal Advisors to System One and MidOcean Partners. Lowenstein Sandler LLP acted as Legal Advisor to System One management.

The transaction is expected to close in the fourth quarter of 2016, subject to customary closing conditions and regulatory approvals.

About Thomas H. Lee Partners
Thomas H. Lee Partners, L.P. is one of the world’s oldest and most experienced private equity firms. The firm invests in growth-oriented businesses, headquartered principally in North America, across three broad sectors: consumer and healthcare, media and information services, and business and financial services. Since its founding in 1974, THL has raised over $20 billion of equity capital and invested in more than 130 businesses with an aggregate purchase price of more than $150 billion. THL strives to build great companies of lasting value and generate superior investment returns. For more information, please visit

About System One
System One delivers specialized workforce solutions and integrated services. We help clients get work done more efficiently and economically, without compromising quality. For more than 30 years, we’ve built our reputation on exceptional talent, flexible delivery and full accountability. System One’s national network spans energy, engineering, IT, commercial, scientific & clinical, legal and beyond. System One is based in Pittsburgh, PA.

About MidOcean Partners
Established in 2003, MidOcean Partners is a New York-based alternative asset manager that specializes in middle market private equity and credit investments. Since inception, MidOcean has managed private equity funds with approximately $4 billion in commitments and focuses on high quality middle market companies with attractive strategic, operational and financial growth opportunities in the Consumer and Business & Media Services sectors. MidOcean Credit Partners, which launched in 2009, manages approximately $4 billion across a series of alternative credit strategies, collateralized loan obligations (“CLOs”), and customized separately managed accounts. For more information, visit