Technology & Business Services

CLIENT
ArcLight Consulting, LLC (“ArcLight”), founded by Pritam Dutta, Jeff Eaton, and Harch Mirchandani, is a market-leading provider of a complete suite of Oracle human capital management (HCM) cloud implementation and consulting services. The Company guides clients through every phase of an implementation project, including strategy, deployment, management, adoption, and optimization. ArcLight is headquartered in Burlington, Massachusetts.

SITUATION
The ArcLight team was seeking to further its position as a leader in the technology consulting sector by building upon ArcLight’s extensive expertise across the full suite of Oracle Cloud products and software and the Company’s specialization in HCM integrations, change management, and ERP support. The Company was targeting a partner that would support the successful execution of ArcLight’s growth strategy by expanding its national service footprint with a high-growth, differentiated, and specialized firm with a focus on prioritizing customer and employee satisfaction.

ENGAGEMENT
G2 Capital Advisors, LLC (“G2”) was engaged by ArcLight as the exclusive financial advisor leading a sell-side effort focused on identifying and transacting with an optimal partner to support the Company’s long-term growth strategy.

OUTCOME
The transaction was successfully executed on June 30, 2021 through a sale of ArcLight to Addison Group. ArcLight will continue to operate their brand under Addison just like Bridgepoint Consulting, which G2 sold to Addison in 2017, providing opportunities for growth both for the business and employees.

“G2 ran an efficient and robust process. We couldn’t be more pleased with the outcome. G2 helped us to find the right partner with which to grow ArcLight both in terms of business goals and cultural fit.” said ArcLight co-founder, Jeff Eaton.

The ArcLight acquisition represents the third company Addison has acquired through a G2 represented deal process.

“It was an honor and a pleasure to work with Pritam, Jeff, and Harsh. The sale is a fantastic outcome for our client and allows the partners to realize their goals for the company while accessing Addison’s exceptional support base to grow their business.” said Kerri Ford, Managing Director and Practice Leader of Technology & Business Services for G2 Capital Advisors.

About Arclight Consulting Group LLC:
ArcLight Consulting is a leader in Cloud implementation services. ArcLight is dedicated to ensuring that its customers are not only successful with their Cloud applications investment, but that they maximize and optimize that investment. ArcLight’s team of certified experts continuously provide best in class service, guidance and direction to ensure customer’ success via its established methodology that bridges software and process. ArcLight’s founding principle is that Customer Service drives Customer Success and putting it into practice creates long-term benefits for customers, employees, partners, and the communities that ArcLight serves.

About G2 Capital Advisors

G2 Capital Advisors provides M&A, capital markets and restructuring advisory services to the middle market. We offer integrated, multi-product and sector-focused services by pairing highly experienced C-level executives with specialist investment bankers. We aspire to be the trusted advisor of choice to our clients including corporations and institutional investors.

CONTACTS ON THIS DEAL:

Kerri Ford, Managing Director & Practice Leader Technology & Business Services : T: 917.515.7585 E: [email protected]

Matt Konkle, Senior Managing Director & Head of Industry Teams : T: 317.371.6608 E: [email protected]

Connor Grogan, Vice President : T: 860.707.5754 E: [email protected]

Kevin Lamb, Senior Analyst : T: 508.282.6262 E: [email protected]

G2 Capital Advisors is pleased to present its Technology & Business Services industry updates for Q1 2021, providing commentary and analysis on M&A and market trends within the sectors. We hope these reports find you and your families safe and healthy, and encourage you to contact us directly if you would like to discuss our perspective on the current market environment, trends, or our relevant industry experience.

G2 Capital Advisors is pleased to present its Technology & Business Services industry updates for Q4 2020, providing commentary and analysis on M&A and market trends within the sectors. We hope these reports find you and your families safe and healthy, and encourage you to contact us directly if you would like to discuss our perspective on the current market environment, trends, or our relevant industry experience.

CLIENT:
Argyle Executive Forum, LLC (“Argyle Executive Forum” or the “Company”), a marketing services company, brings information and thought leadership to a membership community of over two million business leaders. The Company provides conference, private meeting, and virtual event services as well as content solutions to engage audiences and communicate client brands and product innovations. Additionally, the Company operates a business-to-business media brand, focused on publishing information for senior finance executivesthrough multiple channels, including digital, mobile, and print magazine. Argyle Executive Forum was founded in 2004 and is headquartered in New York, New York.

SITUATION:
Argyle Executive Forum was formed through the combination of two distinct lead generation platforms: (i) Argyle Executive Forum, LLC, focused on exclusive, invitation-only events providing networking opportunities, panel discussions, and thought leadership to industry executives; and (ii) CFO Publishing, LLC (“CFO Publishing”), a leading global voice and multi-channel platform for delivery of original enterprise finance information, award-winning thought leadership and specialized professional learning targeted to the CFO ecosystem.

The two entities were consolidated into one operating company that targets specific functional business disciplines with highly-curated and premium lead generation events and services while providing thought leadership and proprietary experiences for its executive communities. Argyle Executive Forum was seeking to divest its media assets and recapitalize the Company as part of its virtual events-focused reorganization strategy.

ENGAGEMENT:
G2 Capital Advisors, LLC (“G2”) was engaged by Argyle Executive Forum as the exclusive sell-side advisor to lead a highly-targeted and efficient sale process for the Company’s digital and physical media assets, customized virtual webinar platform, and valuable research and analytics services.

OUTCOME:
In a transaction successfully executed on December 15, 2020, the Company divested its CFO Publishing media assets through a sale to Industry Dive, Inc. (“Industry Dive”), a portfolio company of Falfurrias Capital Partners (“Falfurrias”). The acquisition enhances Industry Dive’s growing portfolio of award-winning industry publications and represents a unique opportunity to build upon CFO Publishing’s globally-recognizable media brand that has been trusted by chief financial officers for over 35 years.

Additionally, the Company successfully divested the assets of Argyle Executive Forum on December 23, 2020 through a sale to Demand&Suppli LLC (“Demand&Suppli”). The acquisition represents a platform investment for Demand&Suppli in the lead generation space and provides an exceptional opportunity to build upon Argyle Executive Forum’s strong brand and experienced management team.

The Chairman of the Board of Directors of Argyle Executive Forum, Kerry Gumas said, “My experience in working with G2 throughout the sale process was second to none. They were extremely diligent, hard working and focused on achieving the best outcome for all parties involved. The Argyle Executive Forum and CFO Publishing teams are excited to work with their new partners at Industry Dive and Demand&Suppli who clearly share a common vision for continued growth of the two brands and exceptional lead generation execution for the Company’s valued customers.”

The two platforms are well-positioned to benefit from the strong tailwinds that have accompanied the need for efficient sales lead generation and critical thought-leadership brought about by the COVID-19 crisis, and will likely continue to play an integral role within the larger marketing services industry.

“The market conditions for event-based marketing and media companies driven by COVID-19 created unique challenges that required the team to find creative ways to approach the sell-side process. It was an honor and privilege to work with Argyle Executive Forum’s management on these highly-strategic divestitures”, said Matt Konkle, G2’s Senior Managing Director and Head of Industry Teams. “The Industry Dive, Falfurrias, and Demand&Suppli teams were a pleasure to work with and we look forward to tracking their success investing in the niche media and marketing services segments.”

About Argyle Executive Forum, LLC:
Argyle Executive Forum, LLC, a marketing services company, provides conferences, private meetings, and virtual events services in the areas of sales, sales development, customer success management, marketing, meeting management and operations, content and programming, membership development, and business support. Additionally, the Company operates a business-to-business media brand, focuses on publishing information for senior finance executives in the United States. It provides information in the areas of accounting and tax, banking and capital markets, human capital and careers, growth companies, risk and compliance, strategy, and technology through multiple channels, including online, digital, mobile, and magazine. Argyle Executive Forum, LLC was founded in 2004 and is headquartered in New York, New York.

About G2 Capital Advisors:
G2 Capital Advisors provides M&A, capital markets, and restructuring advisory services to the middle market. G2 offers integrated, multi-product, and sector-focused services by pairing highly experienced C-level executives with specialist investment bankers. G2 aspires to be the trusted advisor of choice to its clients including corporations and institutional investors.

CONTACTS ON THIS DEAL:
Matt Konkle, Sr. Managing Director, Head of Industry Teams: T: 317.371.6608 E: [email protected]

Connor Grogan: Vice President: T: 617.918.7973 E: [email protected]

G2 Capital Advisors (“G2”) today announced that Kerri Ford, Managing Director, joins as the Firm’s new leader over the Technology & Business Services industry group. Ford is located in Boston, MA and reports to Matt Konkle, Head of Industry Teams.

Kerri joins G2 with over twenty-five years of experience investing in and advising companies across the technology and business services marketplace. Prior to joining G2, she was a co-founder and partner of RunTide Capital, a private equity firm investing in growth-stage, tech-enabled businesses. At RunTide, Kerri was responsible for all aspects of the investment cycle from sourcing through portfolio management and exit as well as fund formation and overseeing fund operations and compliance. Previously, Kerri served as Senior VP of Corporate Strategy and Development for C&W Services where she spearheaded the company’s M&A strategy. Before her time at C&W Services, she served as an investment professional for Baker Capital, a private equity firm investing in and advising digital communications, media and technology services companies. Previously, Kerri was an investment banker with Goldman Sachs and held roles in international operations and finance with Cabletron Systems, a pioneer in network management technology, as well as serving on multiple corporate boards of directors.

“We continue to expand our investment banking team with highly talented, operations centric executives that bring deep domain expertise to our clients,” said Chairman & CEO Jeffrey Unger. “The depth of Kerri’s background providing strategic advice particularly in the Tech-Enabled Services and Facilities Services sectors, is a strong match for our current team.”

Ford’s addition to G2 represents an important step forward as the firm strengthens its leadership in the technology sector where we have worked on 59 transactions to-date, 4 of which closed YTD with 3 under LOI on a path to close before year end. Kerri shares in the firms’ growth strategy for the Technology & Business Service Practice focusing on continuous innovation and expansion into growing markets, sound financial management rooted in an operations centric perspective, and providing our clients with creative and forward-thinking strategic alternatives to align with their long-term goals.

“Kerri brings significant and complementary sector expertise and market relationships to our team, deepening our existing focus in Ecommerce, IT / Cloud Services and Human Capital Management while expanding our expertise in Facilities Services and Real Estate technology.” said Matt Konkle, Senior Managing Director and Head of Industry Teams at G2 Capital Advisors. “Kerri’s leadership will drive a significant impact on our business and we are delighted to have her join G2.”

Ford is the latest prominent executive hire made by the firm, joining Nate McOmber who recently started with G2 in August as a Director with a dedicated focus on special situation advisory engagements, including assignments for the benefit of creditors, in the Technology and Business Services space. In addition to Nate, G2 recently hired Cullen Moore, Capital Markets Analyst who joined G2 after serving as an Investment Banking Analyst for Goldman Sachs. 

G2 continues to look for exceptional talent to join the expanding team and encourages contacting Amy McCormack, Vice President of Talent regarding interest in learning more about current openings.

G2 Capital Advisors (“G2”) today announced that Kerri Ford, Managing Director, joins as the Firm’s new leader over the Technology & Business Services industry group. Ford is located in Boston, MA and reports to Matt Konkle, Head of Industry Teams.

Kerri joins G2 with over twenty-five years of experience investing in and advising companies across the technology and business services marketplace. Prior to joining G2, she was a co-founder and partner of RunTide Capital, a private equity firm investing in growth-stage, tech-enabled businesses. At RunTide, Kerri was responsible for all aspects of the investment cycle from sourcing through portfolio management and exit as well as fund formation and overseeing fund operations and compliance. Previously, Kerri served as Senior VP of Corporate Strategy and Development for C&W Services where she spearheaded the company’s M&A strategy. Before her time at C&W Services, she served as an investment professional for Baker Capital, a private equity firm investing in and advising digital communications, media and technology services companies. Previously, Kerri was an investment banker with Goldman Sachs and held roles in international operations and finance with Cabletron Systems, a pioneer in network management technology, as well as serving on multiple corporate boards of directors.

“We continue to expand our investment banking team with highly talented, operations centric executives that bring deep domain expertise to our clients,” said Chairman & CEO Jeffrey Unger. “The depth of Kerri’s background providing strategic advice particularly in the Tech-Enabled Services and Facilities Services sectors, is a strong match for our current team.”

Ford’s addition to G2 represents an important step forward as the firm strengthens its leadership in the technology sector where we have worked on 59 transactions to-date, 4 of which closed YTD with 3 under LOI on a path to close before year end. Kerri shares in the firms’ growth strategy for the Technology & Business Service Practice focusing on continuous innovation and expansion into growing markets, sound financial management rooted in an operations centric perspective, and providing our clients with creative and forward-thinking strategic alternatives to align with their long-term goals.

“Kerri brings significant and complementary sector expertise and market relationships to our team, deepening our existing focus in Ecommerce, IT / Cloud Services and Human Capital Management while expanding our expertise in Facilities Services and Real Estate technology.” said Matt Konkle, Senior Managing Director and Head of Industry Teams at G2 Capital Advisors. “Kerri’s leadership will drive a significant impact on our business and we are delighted to have her join G2.”

Ford is the latest prominent executive hire made by the firm, joining Nate McOmber who recently started with G2 in August as a Director with a dedicated focus on special situation advisory engagements, including assignments for the benefit of creditors, in the Technology and Business Services space. In addition to Nate, G2 recently hired Cullen Moore, Capital Markets Analyst who joined G2 after serving as an Investment Banking Analyst for Goldman Sachs. 

G2 continues to look for exceptional talent to join the expanding team and encourages contacting Amy McCormack, Vice President of Talent regarding interest in learning more about current openings.

G2 Capital Advisors is pleased to present its Technology & Business Services industry updates for Q3 2020, providing commentary and analysis on M&A and market trends within the sectors. We hope these reports find you and your families safe and healthy, and encourage you to contact us directly if you would like to discuss our perspective on the current market environment, trends, or our relevant industry experience.

CLIENT

Directed, LLC (“Directed”), is a Vista, California-based producer of automotive aftermarket electronics. Directed, a world leader in automotive electronics, is the largest North American designer and marketer of consumer-branded vehicle security and remote start systems, and a pioneer in the connected car space. Its products connect more consumers to their vehicles than anyone else on the planet. Directed markets its broad portfolio (sold under Viper®, Clifford®, Python®, Autostart®, AstroStart®, Alcohol Detection Systems® and other brands) through leading national retailers and specialty chains.

SITUATION

In March, Directed experienced significant operational and cash flow challenges due to the impact of the global COVID-19 pandemic. It’s customers, who represent leading national automotive after-market retailers and specialty chains, experienced a significant decline in store traffic and related consumer spending, especially on account of actions taken in response to the public health crisis. Mandated store closures significantly contributed to missed sales targets and resulted in unsold inventory.

ENGAGEMENT

Faced with a liquidity crisis, Directed engaged G2 Capital Advisors, LLC (“G2”) as its restructuring advisor. Directed’s board of directors tapped G2 Managing Director Jeffrey T. Varsalone to serve as Directed’s Chief Restructuring Officer (“CRO”). Through the CRO, G2 developed and executed liquidity management tactics to maximize runway for a potential restructuring transaction and assessed strategic options for the Company and its stakeholders. With a focus on maximizing value for creditors and preserving jobs, G2 provided the board with restructuring expertise in negotiating a consensual resolution with the Company’s lender and facilitating a restructuring transaction that preserved the going concern. G2 teamed with Livingstone Partners, LLC, which ran an expedited sale process as the Company’s investment banker.

OUTCOMES

Implementing tight liquidity management measures, G2 assisted Directed in negotiating a series of forbearance agreements without creating additional exposure for the Company’s senior lender. As a result of the ability to avoid incremental risk to the senior lender, the Company had sufficient runway to consummate two asset sale transactions in July 2020 that preserved the value of the going concern. The first was the sale of Directed’s Remote Start & Security and Connected Car Solutions businesses to VOXX International Corporation (NASDAQ: VOXX), a leading manufacturer and distributor of automotive and consumer technologies for the global markets. The second was the sale of Directed’s ignition interlock device business, Alcohol Detection Systems (“ADS”), to CST Holding Company (“CST”). CST is a portfolio company of private equity firm Welsh, Carson, Anderson & Stowe (“WCAS”) and also owns the nation’s largest ignition interlock brand, Intoxalock.

“Having assessed the limited potential recovery to stakeholders in a liquidation scenario, this was a particularly challenging situation,” said Jeffrey T. Varsalone, the Company’s Chief Restructuring Officer. “The uncertainty of being able to consummate a going concern sale transaction during the height of the Covid lockdown this spring created a dynamic where the runway had to be created without asking stakeholders to take on material additional risk. The board, the Company’s management and the Company’s professionals worked together tirelessly and cohesively to maximize value for all stakeholders. We are very proud to be part of the team that provided value to creditors, provided an ongoing customer to vendors, and saved over 100 jobs at a time when the annualized unemployment rate was at an all-time high”, Varsalone concluded.

Joseph Greenwood and Andrew Bozzelli from Livingstone led the investment banking effort in selling Directed. L. Katherine Good, Esq. and Michael W. Whittaker, Esq. of Potter Anderson & Corroon LLP served as legal counsel to Directed.

This transaction is part of several recent G2 transactions, including The Paper Store, LLC (CRO engagement culminating in Chapter 11 Section 363 Sale) and a regional casual dining restaurant chain (CRO engagement culminating in a sale transaction).

About Directed:
Headquartered in Southern California, Directed is the largest designer and marketer in North America of consumer-branded vehicle security and remote start systems (sold under Viper®, Clifford®, Python®, Autostart® and other brand names). Directed markets its broad portfolio of products through many channels including leading national retailers and specialty chains throughout North America and around the world.

About VOXX International:
VOXX International Corporation (NASDAQ: VOXX) has grown into a leader in Automotive Electronics and Consumer Electronics, with emerging Biometrics technology to capitalize on the increased need for advanced security. Over the past several decades, with a portfolio of approximately 35 trusted brands, VOXX has built market-leading positions in in-vehicle entertainment, automotive security, reception products, a number of premium audio market segments, and more. VOXX is a global company, with an extensive distribution network that includes power retailers, mass merchandisers, 12-volt specialists and many of the world’s leading automotive manufacturers.

About Intoxalock:
Intoxalock, is the primary DBA of Consumer Safety Technology, LLC, is a leading provider of ignition interlock devices, which are breathalyzers installed in vehicles. Intoxalock is based in Des Moines, Iowa, United States. CST is a portfolio company of private equity firm Welsh, Carson, Anderson & Stowe.

About G2 Capital Advisors

G2 Capital Advisors provides M&A, capital markets and restructuring advisory services to the middle market. We offer integrated, multi-product and sector-focused services by pairing highly experienced C-level executives with specialist investment bankers. We aspire to be the trusted advisor of choice to our clients including corporations and institutional investors.

Securities offered through Hollister Associates, LLC, Member FINRA & SIPC.
G2 Capital Advisors, LLC and Hollister Associates, LLC are separate and unaffiliated entities. This does not constitute an offer to buy or sell securities.

CONTACTS ON THIS DEAL:

Jeffrey Varsalone, Managing Director, Restructuring: T: 516.410.0615
E: [email protected]

Konstantin A. Danilov: Vice President, Restructuring: T: 413.841.2717
E: [email protected]

Zach Talotta: Associate, Restructuring: T: 802.745.9291
E: [email protected]

G2 Capital Advisors is pleased to present its Technology & Business Services industry updates for Q2 2020, providing commentary and analysis on M&A and market trends within the sectors. We hope these reports find you and your families safe and healthy, and encourage you to contact us directly if you would like to discuss our perspective on the current market environment, trends, or our relevant industry experience.

G2 Capital Advisors is pleased to present its Technology & Business Services industry updates for Q1 2020, providing commentary and analysis on M&A and market trends within the sectors. We hope these reports find you and your families safe and healthy, and encourage you to contact us directly if you would like to discuss our perspective on the current market environment, trends, or our relevant industry experience.

CLIENT:
Yandy.com (“Yandy” or the “Company”) headquartered in Phoenix, AZ is a leading eCommerce retail company specializing in women’s specialty intimates apparel. The Company was founded in 2007 and has grown to become one of the leading suppliers of everyday intimates, lingerie, swimwear, costumes, and accessories.

SITUATION:
On February 24, 2020 Yandy.com (“Yandy”), a Phoenix-based, online specialty apparel retailer was acquired by Playboy Enterprises, Inc. Playboy Enterprises recently announced a corporate repositioning to establish its parent company as PEI Holdings (“PEI”). “We’re excited to partner with the talented Yandy team to continue delivering value to their dedicated consumers and to accelerate the growth of all our businesses with new shared capabilities,” said Ben Kohn, CEO of PEI.

ENGAGEMENT:
G2 Capital Advisors, LLC (“G2”) served as the exclusive sell-side advisor to Yandy.com, leading a highly strategic and robust sales process, which ultimately resulted in identifying PEI as the ideal partner for the business to accelerate its next phase of growth. “This exciting partnership provides Yandy with an opportunity to leverage Playboy’s global brand to accelerate our growth strategy and extent our reach in the ecommerce market,” said Aras Koktas and Jeff Watton, Co-CEOs of Yandy. “We thank G2 Capital Advisors for guiding us through this process and helping us find a great partner in PEI”.

OUTCOME:
The acquisition of Yandy will significantly expand PEI’s direct digital audience reach, its eCommerce capabilities and back-end technical and operational infrastructure. Yandy has a strong, established, profitable business and an experienced team that is responsible for fulfilling more than 50,000 monthly orders of intimates, sleepwear and accessories to a primarily female, US-based audience. “We are honored and privileged to have represented Yandy in the successful outcome of this transaction”, said Matt Konkle, Head of Industry Teams for G2. “We believe the partnership between PEI and Yandy will prove highly strategic and we wish both organizations much future success.”

About G2 Capital Advisors (www.g2cap.com)
G2 Capital Advisors provides M&A, capital markets and restructuring advisory services to the middle market. We offer integrated, multi-product and sector-focused services by pairing highly experienced C-level executives with specialist investment bankers. We aspire to be the trusted advisor of choice to our clients including corporations and institutional investors.

About Yandy.com (www.yandy.com)
Yandy is a leading online retailer of sexy women’s specialty apparel. Millions of women around the world wear Yandy everyday intimates, lingerie, swimwear and costumes. Our passion for design, fit and fashion drives our company’s “own your sexy.” mantra in everything we do, from product innovation and merchandising to our mission to help every woman discover or rediscover her own brand of sexy.

About Playboy Enterprises
Playboy, the cornerstone of PEI Holdings, today reaches a wide global audience through a diverse portfolio of consumer products, content, gaming and hospitality offerings. With 97% unaided global brand recognition and nearly 50 million social media fans worldwide, Playboy remains one of the most iconic brands in history. Under its mission of Pleasure for All, the 66-year-old Playboy brand drives more than $3 billion in annual sales at retail across 180 countries.

CONTACTS ON THIS DEAL:
Matt Konkle, Sr. Managing Director, Head of Industry Teams: T: 317.371.6608 E: [email protected]
Jarl Berntzen, Managing Director, Technology & Business Services Practice Leader: T: 415.825.5866 E: [email protected]
Bisma Ahmed, Senior Associate: T: 617.918.7928 E: [email protected]