DALLAS—O’Melveny advised private equity firm Craftsman Capital on its sale of CMIT Solutions, LLC, a leading IT Managed Service Provider (MSP) franchisor, to HKW, a middle-market private equity firm. Additionally, HKW acquired HTW, Inc., CMIT’s largest franchisee, to serve as the foundation of a corporate affiliate, a press release states.
Financial terms of the transaction, which was announced on Jan. 9, were not disclosed.
Based in Dallas, Texas, Craftsman Capital makes controlled investments in lower-middle market companies. The firm actively searches for acquisitions with the following criteria: an owner desiring to sell 100% of a company which has $1 million to $10 million of EBITDA, minimal CapEx requirement, and is headquartered in Texas or the greater surrounding states.
CMIT Solutions offers a wide variety of services and products, including IT management and maintenance, cybersecurity monitoring, help desk support, data backup and recovery, and more. The company supports businesses anywhere in the United States and Canada, and its locally owned franchise model enables CMIT to serve customers through high-trust, direct relationships.
Based in Indianapolis, Indiana, HKW invests in profitable middle-market companies in the technology sector across the U.S. and Canada. The company has sponsored 69 platform transactions of middle-market companies throughout North America and 75 add-on acquisitions.
The O’Melveny team advising Craftsman Capital was led by partners Jack Jacobsen and Will Becker, counsel Ashley Thurman, and associates Sean Horan and Eleanor Gilbert.