Acquisitions in California in 2019

SkyKnight Capital, a San Francisco-based private equity firm, led a strategic investment in Patra in late 2019 to support the provider's rapid growth in technology-enabled services for the insurance industry. The investment will help Patra scale its PatraOne platform and expand services for brokers, MGAs, wholesalers and carriers; Patra reported a global team of over 6,500 process executives.

VMware, Inc. completed its acquisition of Pivotal Software, Inc., acquiring Pivotal for an enterprise value of approximately $2.7 billion and making Pivotal a wholly owned subsidiary. Pivotal's cloud-native platform and developer-focused offerings will be integrated into VMware's Tanzu portfolio to expand VMware's modern application and Kubernetes capabilities.

Astellas Pharma has acquired Xyphos Biosciences, gaining Xyphos' ACCEL convertible-CAR technology platform and immuno-oncology talent. The deal included $120 million paid at closing and potential milestone payments bringing the total transaction value to up to $665 million.

Palo Alto Networks completed its acquisition of Aporeto Inc., a machine-identity based microsegmentation company, integrating Aporeto’s technology into its Prisma Cloud native security platform. The deal (reported at about $150 million) brings Aporeto’s co-founders and microsegmentation capabilities into Palo Alto’s cloud security offerings to expand cloud-native workload protection.

USA Millwork has acquired Mission Bell, a California-based architectural millwork and custom casework manufacturer founded in 1959. The deal expands USA Millwork’s national platform to five locations, adds West Coast capacity and capabilities, and brings Mission Bell CEO Glenn Ripley into the combined company leadership as president.

The Speech Pathology Group (SPG), a portfolio company of Ridgemont Equity Partners, has acquired Comprehensive Autism Center (CAC), a Temecula-based provider of in-home and center-based ABA therapies serving families across Southern California. Provident Healthcare Partners served as exclusive financial advisor to CAC; transaction terms were not disclosed and the sellers were CAC founders Andrea and Chris Macken.

BJG Electronics Group, a Rockwood Equity Partners portfolio company based in Ronkonkoma, New York, has acquired Whitmor/Wirenetics, a Valencia, California-based supplier of high-performance wire, cable and tubing to the military, aerospace and satellite industries. The purchase expands BJG's mil-aero interconnect product offering and geographic reach; Rick Flora was named CEO of the BJG Electronics Group in conjunction with the transaction.

Indecomm Digital Services, a Warburg Pincus-backed provider of product engineering and digital experience services, has acquired nearshore software development firm Avantica Technologies. The acquisition expands Indecomm's footprint and delivery capacity across Latin America (Costa Rica, Peru, Bolivia, Colombia) and strengthens its nearshore product-engineering capabilities for North American clients.

Health Management Associates (HMA) has acquired NPO Solutions, a California-based management consulting firm focused on strengthening nonprofit and public sector organizations. NPO Solutions will operate as a division of HMA Community Strategies, expanding HMA's capabilities in strategy, capacity building and evaluation and furthering its California footprint; terms were not disclosed.

ForwardPMX, a Stagwell Group company, has acquired digital marketing firm The Search Agency. The acquisition expands ForwardPMX’s global capabilities and scale—bringing the combined group to more than 25 offices and over 1,000 marketing experts while integrating The Search Agency’s ~200 digital specialists and expertise in paid search, SEO and content.

PLZ Aeroscience Corporation has acquired Liquid Technologies, Inc. from Frontenac Company. The deal expands PLZ’s personal care formulation and manufacturing capabilities and creates a broader national footprint for turnkey product development, formulation, filling and packaging services; financial terms were not disclosed.

First Bev has made an investment in MAD TASTY, a hemp‑infused, zero‑sugar functional sparkling water brand founded by musician Ryan Tedder. The capital and partnership are intended to help MAD TASTY expand distribution and accelerate brand growth across consumer and creative markets.

The Recreational Group, a Dalton, Georgia–based provider of residential and commercial surfacing products, has acquired Swisstrax, a California–based maker/distributor of plastic modular garage and event flooring. In a separate deal the company also acquired Speedway Tile; the purchases expand The Recreational Group's modular flooring portfolio and allow it to bring a majority of Swisstrax production in-house.

KDC/ONE, a Cornell Capital-backed custom formulator and manufacturer, entered into a definitive agreement to combine with HCT Group to create an integrated global provider of manufacturing and packaging solutions for the beauty and personal care industry. The transaction brings together complementary capabilities in formulation, design, manufacturing, filling and logistics, with existing ownership (Cornell Capital, CDPQ, Investissement Québec, HarbourVest) reinvesting alongside HCT management; specific financial terms were not disclosed.

Discovery Behavioral Health, a nationwide provider of behavioral health services, has acquired Casa Palmera, a nationally recognized residential treatment facility for adults with drug and alcohol addiction located in Del Mar/San Diego, California. The acquisition expands Discovery's continuum of residential and outpatient treatment capabilities and adds experienced clinical staff to support substance use and co-occurring mental health disorder treatment.

Shimtech Industries, a PE-backed aerospace components platform, has acquired Fastener Technology Corp. (FTC), a North Hollywood supplier of high-strength specialty fasteners for commercial and military aerospace customers. FTC will remain led by its existing management team and will integrate with Shimtech's aerospace divisions to expand manufacturing capacity and product offerings.

VirTrial, a portfolio company of Kinderhook Industries, has acquired SnapMD to integrate its enterprise telemedicine platform into VirTrial's Virtual Care Management (VCM) offering. The acquisition is intended to bolster VirTrial's decentralized clinical trial (DCT) capabilities and expand virtual care features for sponsors, sites and patients; SnapMD will operate as a subsidiary of VirTrial.

Los Angeles-based marketing consultancy Hawke Media has acquired Artemis Digital Media to add affiliate management and influencer partnership capabilities to its service offering. Founder Marc Rona joins Hawke Media to lead a new Affiliate division, integrating Artemis' proprietary tracking platform and client roster into Hawke's a-la-carte marketing services.

Controlled Products, a Clearview Capital‑backed manufacturer and distributor of synthetic turf, has acquired a majority stake in Purchase Green (including Path to Prosperity, LLC). The transaction closed in November 2019 and included a significant reinvestment by Purchase Green's management, which will remain in place to run the business; the deal expands Controlled Products' distribution footprint and product offerings across North America.

Blue Point Capital Partners announced the acquisition of Mattco Forge, Inc., a Paramount, California-based designer and manufacturer of engineered forged metal products serving the aerospace & defense industry. Blue Point said it will partner with management to expand Mattco's production capabilities, improve supply chain management and enhance business infrastructure as a Blue Point IV platform investment.

Workday, Inc. has completed its acquisition of Scout RFP, a cloud-based strategic sourcing and supplier engagement platform. Scout RFP will operate as Scout RFP, a Workday company, expanding Workday's capabilities in spend management and the office of procurement.

Chicago-based private equity firm Wind Point Partners has invested in Tropicale Foods, a leading U.S. manufacturer of Hispanic frozen novelties under the Helados Mexico brand. The founders will remain involved as Wind Point partners with management to expand the brand, product innovation and geographic distribution.

Hub International Limited acquired the assets of Blair Jarcik Insurance Agency, Inc., a Novato, California-based commercial and personal insurance agency. Terms were not disclosed; Blair Jarcik, President of the agency, will join Hub California and report to Bryan Costello as part of the integration.

One World Fitness PFF, LLC, a Centre Partners‑backed Planet Fitness franchisee, has acquired BMC Mgmt Inc. and affiliates (collectively, San Diego Fitness), adding seven clubs and more than 60,000 members in San Diego County. The add‑on expands the One World Fitness platform to 25 clubs across three states and supports the company's strategy to build a national Planet Fitness franchisee; financial terms were not disclosed.

NMS Capital has partnered with Center for Social Dynamics (CSD) management in a recapitalization, making a substantial capital commitment to support CSD's growth. CSD, a home-based applied behavior analysis (ABA) services provider operating across Northern California, Oregon, and Hawaii, will continue to be led by founder and CEO Pete Pallares, who retains a significant ownership stake.

Canopy Biosciences, a St. Louis-based multi-omic services company backed by Ampersand Capital Partners, has acquired Core Diagnostics, a California CLIA-certified biomarker analysis laboratory. The acquisition gives Canopy CLIA-certified laboratory capabilities to offer its multi-omic immune profiling services to clinical as well as preclinical and translational customers.

Salt Creek Capital has acquired Pacific Shoring, a Santa Rosa, California-based manufacturer of aluminum trench shoring and safety equipment, with lower-middle-market private equity firm Huron Capital making a non-control (Flex Equity) investment alongside Salt Creek. Pacific Shoring founder and CEO Bob Pitts is retiring as part of the transaction and Salt Creek partner Bruce Russell will serve as incoming CEO to lead the company's next phase of growth.

Benestar Brands, a Highlander Partners portfolio company, has acquired Arboleda Foods, the holding company behind the Chicas branded tortilla chips. The acquisition will allow Benestar to add the Chicas brand to its salty snacks platform and leverage its distribution network to grow the brand nationally.

Hub International Limited has acquired Hamman--Miller--Beauchamp--Deeble, Inc. d/b/a HMBD Insurance Services, Inc., a Long Beach, California-based full-service insurance agency. The acquisition strengthens Hub's specialty practices by adding HMBD's capabilities in construction, dental professional liability, transportation (railroads) and expands Hub's presence in the Southern California market.

Natural Systems Utilities (NSU) has completed the acquisition of the Acqualogic/Kanso water and wastewater operations and maintenance business, assuming all O&M contracts for 28 on-site systems in the San Francisco Bay Area. The deal expands NSU's presence into the South Bay region and increases its operating density as it continues to grow its national portfolio of on-site community water and wastewater systems.

Heffernan Insurance Brokers has acquired the assets of Newport Beach-based Henderson Insurance, integrating the firm into its HeffDirect division effective December 1, 2019. The acquisition brings Henderson's 47 years of specialty expertise in dry cleaner and laundry insurance to Heffernan, expanding the firm's niche practice capabilities and national service footprint.

Rockwell American, a subsidiary of DexKo Global Inc., acquired Fenders N' More from C. Wolfe Industries, Inc., adding a 30-year line of trailer fenders to its product offering. The purchase expands Rockwell's ability to serve utility, horse, cargo and boat trailer manufacturers and is being integrated into Rockwell/DexKo's existing manufacturing and distribution footprint.

Triton-backed Flokk Group has acquired US office seating manufacturer 9to5 Seating to expand Flokk's footprint in the United States and accelerate the group's international growth strategy. The deal adds 9to5's manufacturing capabilities and nationwide dealer network to Flokk's family of workplace furniture brands; 9to5's CEO Dara Mir will remain as CEO and minority shareholder.

Pfingsten, an operationally focused private equity firm, acquired Advanced Lighting Concepts, LLC d.b.a. Environmental Lights, a San Diego–based designer and provider of commercial accent LED lighting. The company's founders, Greg and Anne Thorson, retained equity and management will remain in place; Pfingsten plans to invest in product development, people and pursue strategic add-on acquisitions to grow the business.

Myers Emergency Power Systems (a Graham Partners portfolio company) has acquired the business of Low Voltage Systems, Inc., a family-owned San Leandro-based manufacturer of emergency lighting controls and mini inverters. The deal adds lighting control capabilities to Myers EPS's emergency backup power product set; LVS's president and former majority owner, Leon Hermans, will retain an investment and join the combined management team.

Nothing Bundt Cakes, a portfolio company of Levine Leichtman Capital Partners, acquired six Nothing Bundt Cakes franchisee bakeries in the San Diego market, converting them to company-owned operations. The acquisition expands NBC's West Coast footprint, provides a training and R&D base for the region, and strengthens support for local franchisees.

AssuredPartners, Inc. has acquired Surety Solutions Insurance Services, Inc. (Surety1), a Rancho Cordova, California-based surety bond specialist. The 15-person agency, which reports approximately $3.3 million in annualized revenue, will continue to operate under John Page and Ryan Tash as part of AssuredPartners' nationwide insurance brokerage platform.

Acuity Brands, Inc. acquired LocusLabs, Inc., a provider of indoor mapping and location-platform software, to integrate LocusLabs' venue mapping and wayfinding capabilities with Acuity's Atrius IoT and building solutions. The acquisition is intended to enable rapid indoor positioning, wayfinding, asset tracking and analytics for airports, event centers and large multi-floor venues; terms were not disclosed and the deal was not expected to materially affect Acuity Brands' fiscal 2020 results.

Kelso & Company has acquired a majority equity interest in Individual FoodService (IFS), a Bell, California-based distributor of foodservice disposables, packaging and janitorial/sanitation products, from prior investor Sole Source Capital. Kelso said it will partner with IFS management to accelerate the company's acquisition strategy, expand capabilities and invest in operations; Kenneth Sweder was appointed Chairman of the IFS board.

Kellstrom Holding Corporation (KHC) has acquired Airborne Technologies, Inc. (ATI), a Camarillo, California-based manufacturer of complex defense aircraft parts. ATI will be combined with Kellstrom Defense's Engineered Products segment to expand OEM-sanctioned parts manufacturing and aftermarket sustainment capabilities for military aircraft.

Fernhill Corporation (OTC: FERN) announced the acquisition of Numuni, Inc., an ad-free, crypto-mining–based marketing/adtech platform led by CEO Robert Reynolds. The deal adds Numuni's privacy-friendly monetization technology to Fernhill's fintech and digital-asset software portfolio as the company intends to integrate and develop the offering for publishers, advertisers and consumer platforms.

Advent International has agreed to acquire Olaplex, the prestige hair‑care brand known for its patented bond‑building technology. Advent plans to accelerate Olaplex's growth through investment in product innovation and increased global brand awareness; financial terms were not disclosed.

Vobile acquired Zefr's Rights ID and Channel ID businesses to expand its video content protection and monetization platform, with financing provided by Accel-KKR Credit Partners. The deal integrates complementary content-monetization and viewer-engagement technologies to help content owners protect and monetize assets across online platforms.

NSi Industries, a Huntersville, North Carolina-based electrical-products company and portfolio company of Blue Sea Capital, has acquired SullStar Technologies, a Simi Valley designer of patented low-voltage connectors and crimp tools. The deal brings SullStar's patented product portfolio into NSi's Platinum Tools division to strengthen NSi's low-voltage product offering, consolidate R&D and sales, and support enforcement of SullStar's patents.

The Starco Group (TSG) has acquired Blue Cross Laboratories (BCL), a 60-year-old personal care and household chemical manufacturer based in Santa Clarita, California. The deal (price undisclosed) brings BCL's 105,000-square-foot liquid-fill manufacturing facility into TSG's portfolio while BCL will continue to operate as a stand-alone business and offer TSG's broader product portfolio to its customers.

ZRG, a global executive search firm, has acquired the Toft Group, a boutique life sciences and biotech executive recruiting firm. The acquisition expands ZRG's life sciences practice, adds approximately $10 million in annual revenue, and strengthens the firm's West Coast presence and expertise in early-stage biotech recruiting.

NexPhase Capital has announced an investment in Popcornopolis, a Vernon, California-based manufacturer of premium ready-to-eat popcorn. Terms were not disclosed; NexPhase partners with the founders and will place Jamie Kaufman on the board while Doug Corbett will serve as Executive Chairman to help scale the CPG brand and expand distribution.

Directly has acquired AI start-up Kylie.ai, bringing the Kylie.ai team and proprietary conversational AI technology in-house to expand Directly's intelligent automation platform. The acquisition adds transactional capabilities (refunds, returns, cancellations, order tracking) to Directly's customer support automation offerings, with Kylie.ai co-founders joining Directly in business development and data science roles.

Butterfly Equity has signed a definitive agreement to acquire a majority stake in Orgain, a Los Angeles-area private equity firm said in a press release. Ontario Teachers' Pension Plan will join as a minority investor, and Orgain founder Dr. Andrew Abraham will retain a significant minority stake and remain CEO; the partnership is intended to scale the brand, accelerate product innovation and expand global distribution.

Gemspring Capital (with participation from Everberg Capital) completed an investment in Crafty Apes, a full-service visual effects and post-production company with studios in Los Angeles, Atlanta and New York. The transaction is intended to support geographic expansion, team investment and continued growth serving film, television/streaming and commercial production clients.