Private equity firm Virgo Capital, which is focused on the technology-enabled services market, has acquired Oklahoma City, OK-based Accord Human Resources. Terms of the sale were not disclosed.
Founded in 1992, the company delivers end-to-end HR solutions such as employee benefits, payroll management, and workers’ compensation to small and mid-size companies in various industries. The company serves approximately 11,000 client employees located in 44 states.
In addition to Virgo Capital, Accord senior management, McClendon Venture Company, and Records Private Equity also participated in the transaction. Both Records Private Equity and McClendon Venture Company are special limited partners in Virgo Capital Fund I. Senior debt financing for the transaction was provided by Fifth Third Bank
“After carefully considering a number of potential investors, we are excited to be partnering with Virgo Capital,” remarked Dale Hageman, president and CEO of Accord. “We feel Virgo Capital shares our values and vision, and they possess the financial strength and the experience in outsourced services to help accelerate our growth. We believe the transaction will have an overwhelmingly positive impact on our clients and employees.”
“Our acquisition of Accord fits squarely within Virgo Capital’s strategy of investing in companies with established management teams and proven products and services,” noted Hemanth Parasuram, managing director of Virgo Capital. “Accord boasts superior customer retention and offers a compelling value proposition for customers. The company’s size and reputation make it an ideal platform in a market where we have identified significant growth opportunities with the right capital commitment.”