BIRMINGHAM, AL--(Marketwired - September 06, 2016) - Daxko announced today that it has signed a definitive agreement for a strategic investment from GI Partners, a leading middle market private equity firm headquartered in San Francisco. In their 18 years of existence, Daxko has experienced tremendous growth to lead the market in innovative SaaS solutions for member-based health and wellness organizations, including YMCAs, JCCs, community centers, fitness clubs, university rec centers, and hospital-based wellness centers throughout North America.
Dave Gray will continue to grow the company as Daxko's President and CEO under the new agreement with GI Partners. "We are excited about this new relationship, and we're confident GI Partners is the right group to support our strategic growth initiatives," stated Gray. "We have a shared alignment around the importance of focusing on the customer, and together we look forward to continuing to build an enduring company."
Travis Pearson, Managing Director of GI Partners, said, "We are proud to partner with Dave Gray and Daxko's highly talented leadership team. In Daxko, they have built a market leader with innovative solutions, loyal customers, and a high-energy, winning culture. We look forward to supporting management in continuing to invest in the company's people and products and further accelerate its growth."
Daxko has enjoyed a successful history with private equity partners for over 8 years, first with Frontier Capital and most recently with Pamlico Capital. "We are very appreciative of the relationship with Pamlico Capital since 2014, particularly our two board members, Art Roselle and Eric Wilkins. Their financial and strategic support of Daxko has been critical in our growth and expansion," explained Gray. "Our departure from their fund is bittersweet as we'll miss working with the team there. However, we're proud of the results we delivered together and of the positive outcome for all involved."
Building on the strong track record of growth under past and current equity partners, this investment will allow Daxko to focus on continued organic growth and logical, targeted acquisitions. Daxko serves over 1,200 customers who in turn serve 20 million people. Greg VandenBosch, Managing Director of GI Partners, said, "We are impressed with the dynamic business that has been built under Dave's leadership, and look forward to applying our combined expertise and resources to help the company build on its success and further expand its leadership position." Pearson, VandenBosch, and Sendil Rajendran from GI Partners will join Daxko's board of directors.
Daxko was advised by Jeff Bistrong, Tyler Dewing and their team at Harris Williams.
Headquartered in Birmingham, Alabama, Daxko is a leading provider of mission-critical software solutions to the member-based health and wellness market. Daxko's solutions help customers achieve high levels of operational efficiency, strong fiscal management, and increasingly engage the community to expand their mission. Daxko employs 195 team members across the Southeast. For additional information, please visit daxko.com.
About GI Partners
Founded in 2001, GI Partners is a leading middle market private equity firm based in San Francisco. The firm currently manages over $12 billion in capital commitments through private equity and real estate strategies for recognized institutional investors across the globe. For more information on GI Partners and its entire portfolio, please visit www.gipartners.com.