Cherry Tree Advises Hearing Components (d/b/a ComplyFoam)

In July 2023, the owners of Hearing Components (doing business as Comply) sold the company to CEO Chris Hudson and an investor group. Hearing Components was owned and founded by Robert and Dee Oliviera, who originally purchased the intellectual property from 3M in 1990.

Cherry Tree was engaged to help the owners evaluate their strategic alternatives, which included seeking parties that would maximize the proceeds for a foundation they started, while also protecting the culture of the Company, supporting growth initiatives, and continuing to provide excellent products to its customers. Cherry Tree advised the Company through a process that included introductions and discussions with numerous potential industry and financial acquirers, soliciting proposals, negotiating terms, supporting due diligence, and facilitating the closing of the transaction by ultimately striking a deal with the management team and an investor group they formed. Chris Hudson’s experience and vision for the future of the business as well as his shared value and commitment to all stakeholders, made him the ideal steward for the Company.

Arcadea Group Announces Strategic Acquisition of SPARK

The acquisition will focus SPARK on long-term growth and enhanced product functionality

MINNEAPOLIS & TORONTO & ORLANDO, Fla.–(BUSINESS WIRE)–SPARK, an innovative SaaS-based lending platform serving the SBA and conventional lending market in the United States, has been acquired by Arcadea Group, a global, long-hold and growth-oriented SaaS investor. Arcadea acquired SPARK from Community Reinvestment Fund, USA (“CRF”). This strategic acquisition showcases Arcadea’s commitment to partnering with high-quality businesses with significant long-term growth potential.

“We are extremely impressed by the unique product and service that the SPARK team has developed, along with the tremendous loyalty they’ve built within their customer base,” stated Daniel Eisen, Managing Director at Arcadea Group. “Since the start of the COVID-19 pandemic, there has been a renewed focus on the SBA as a primary source of lending and we believe that SPARK has the potential to accelerate and redefine the SBA process while also enhancing its offerings in the conventional lending market. With our extensive experience in software operations and forward-thinking growth strategies, we are ready to empower SPARK’s journey towards even greater success. With the continued focus by lenders on digital banking infrastructure, including Lending as a Service (LaaS), we view SPARK as a fantastic addition to our portfolio of companies serving the Community Banking and Credit Union industry.”

SPARK’s user-friendly platform has gained rapid recognition in the SBA and conventional lending market, enabling small business owners to quickly secure the funding they need. With Arcadea Group’s resources and industry expertise, SPARK is poised to accelerate its growth trajectory and deepen its market footprint.

Nick Elders, the CEO of SPARK, expressed his excitement about this new partnership. “Our mission has always been to create a company and a product that leaves a lasting, enduring and impactful mark on the small business ecosystem, and we see Arcadea as the perfect partner to help us realize that vision. They not only have deep expertise in software operations but also a growth-oriented mindset. We’re beyond excited about this next chapter of SPARK.”

The acquisition of SPARK also resonates positively with Community Reinvestment Fund, USA. Jennifer Anderson, President of CRF, stated, “We were intent on finding a partner with a long-term vision for SPARK, and we found that in the Arcadea Group. With their ownership, we’re confident SPARK will continue to thrive, meeting the needs of our customer base.”

Paul Yancich, Managing Director at Arcadea Group, highlighted the strategic alignment of this acquisition, saying, “Acquiring SPARK is a testament to our commitment to only partner with businesses that have significant long-term growth potential. We look forward to supporting SPARK as it continues to innovate and expand its offering in the lending market.”

About SPARK
SPARK helps small business lenders take advantage of the FinTech ecosystem and thrive. SPARK is built, managed, and enhanced by a team of passionate experts across the globe and is focused on helping small business lenders succeed in an increasingly digital world. Founded in 2020, SPARK’s network of banks, credit unions, CDFIs and specialty lenders have used the platform to process over $25B in lending activity, targeting deserving small businesses owners across the U.S.

About Arcadea Group
Arcadea Group invests in high-quality, strongly growing, typically founder-led vertical software companies over durations of time that no traditional private equity or growth equity firm can match. With headquarters in Toronto, offices in Florida, and portfolio companies in North America, Europe, and Asia, Arcadea maintains a global investment purview. Arcadea leverages tailor-made, flexible strategies that prioritize value creation for all stakeholders, offering an alternative to the rigid playbooks of Private Equity or Software Aggregators, which prioritize owner returns at the expense of customers and employees.

About CRF
Founded in 1988, Community Reinvestment Fund, USA (CRF) is a national non-profit organization with a mission to improve lives and strengthen communities through innovative financial solutions. A leading Community Development Financial Institution (CDFI), CRF supports mission-driven organizations, increases economic mobility, and builds strong local economies through the development of solutions aimed at creating an equitable financial system. CRF has injected more than $3.5 billion to stimulate job creation and economic development and support community facilities. www.crfusa.com

Contacts
SPARK
Nick Elders, CEO
Nick.elders@lendwithspark.com
https://lendwithspark.com

Source: https://www.businesswire.com/

APPLIED Adhesives Acquires Heigl Adhesives

MINNETONKA, Minn., [May 16, 2023] – APPLIED Adhesives, a premier custom adhesive solutions provider in North America, today announced that it has completed its acquisition of Heigl Adhesives. Based in Eden Prairie, MN, Heigl has over 30 years of adhesive and adhesive dispensing equipment experience across a broad range of industries. The acquisition strengthens APPLIED’s commitment to providing industry-leading products, technical expertise, and relentless service to its customers.

“We are excited to expand APPLIED’s offerings through the acquisition of Heigl Adhesives as we share the same dedication to providing outstanding service, innovative solutions, and the highest quality products to our customers,” said John Feriancek, President and CEO of Applied Adhesives. “We are pleased to welcome the Heigl team and its customers to APPLIED Adhesives and look forward to continuing to deliver industry-leading custom adhesive solutions.”

“I couldn’t be more excited about Heigl joining the APPLIED team. We looked hard at the core values and culture of both companies and it’s a great fit on so many levels,” said Dustin Heigl, CEO, Heigl Adhesives. “Coming together with APPLIED is going to give us even more resources to support all of our valued customers, which will always be our highest priority.”

About APPLIED Adhesives
APPLIED Adhesives, founded in 1971, is a premier custom adhesive solutions provider in North America. Our experts source the adhesives, equipment, and parts you need while providing maintenance services that help you run at optimum efficiency. APPLIED offers customized solutions with a cost-in-use approach that saves you time and money. For more information, please visit appliedadhesives.com.

About Heigl Adhesives
Heigl Adhesives is a leading supplier of industrial adhesives and dispensing equipment based in Minneapolis, Minnesota. The company has been in business for over 30 years and has long-standing relationships with top adhesive and equipment manufacturers. Heigl uses its decades of adhesive expertise and strong industry partnerships to help manufacturing companies of all sizes find the right adhesive solutions for their needs, keep costs low, and keep production running smoothly. For more information, please visit www.heigladhesives.com.

Source:
APPLIED Adhesives Media Contact:
David Posadas
Vice President of Marketing
dposadas@appliedproducts.com

Lindenwood Education System Acquires Dorsey College

Lindenwood University and Dorsey College Will Continue to Operate as Separate Education Institutions

Lindenwood Education System, the non-profit parent entity of Lindenwood University, has completed its acquisition of Dorsey College, a nationally accredited institution that provides career-focused education in the healthcare, skilled trades, culinary arts, emergency medical services, and beauty and wellness fields. Lindenwood Education System is now the parent organization of both Dorsey College and its existing Lindenwood University, a regionally accredited university with a 190-year history and more than 75,000 alumni.

Under Lindenwood Education System, Dorsey College and Lindenwood University will operate as separate education institutions, and Dorsey will maintain its name and career-focused programs. Lindenwood University will continue as a regionally accredited, NCAA Division I, liberal arts college offering on-campus and online education.

“This is a historic moment for both institutions which have a shared vision for providing learner-centric education,” said Dr. John Porter, president and CEO of both Lindenwood Education System and Lindenwood University. “A key part of our strategy is to expand into the ‘just-in-time’ learner space, and Dorsey’s 89-year history of providing exceptional career-focused education is a perfect fit.”

Dorsey is the oldest career college in Michigan serving more than 1,800 students across eight campuses in the state. The college offers more than 20 programs and certificates running from six to 24 months in length. It is also Michigan’s largest educator of practical nurse and emergency medical service graduates. Lindenwood University offers 70 undergraduate and 30 graduate programs to more than 7,000 students from all 50 states both on-ground at its 500-acre campus and online.

This is the first step in the plan of the Lindenwood Education System to build a network of schools with complementary educational programs that can provide life-long education leading to career advancement. Immediately following completion of the transaction, Dorsey College will hold tax-exempt status for corporate and tax purposes. In the coming months, Dorsey anticipates pursuing recognition as a non-profit institution of higher education with the U.S. Department of Education.

“This is the natural next step for Dorsey College,” said John Barnes, CEO and president of Dorsey College, who will remain in his leadership role. “We believe our career-focused curriculum and our deep commitment to developing the whole person to promote their long-term success aligns perfectly with Lindenwood’s learner-centric mission. These commitments will only grow stronger as a member of the Lindenwood family.”

The Lindenwood Education System represents an innovative and forward-looking approach to growth in the increasingly competitive higher education market which has seen historic enrollment declines in recent years. “We believe the Lindenwood Education System is the beginning of a new network of schools that will attract students by providing them with a solution for lifelong learning that will enable them to achieve their personal and professional goals,” Porter said.

• For more information about Dorsey College, visit www.dorsey.edu.
• For more information about Lindenwood University, visit www.lindenwood.edu/about.

SOURCE: https://www.lindenwood.edu/

SOURCE: https://www.mesagroup.org/

Auxo Investment Partners acquires SOS Manufacturing

SOS Manufacturing has announced that it has been acquired by Auxo Investment Partners, a Michigan based private equity firm. This transaction marks Auxo’s fourth acquisition in the space as the firm builds out its wire harness platform.

SOS Manufacturing makes specialized wire harnesses for business customers all over the world. The company was organized in 2001 and is currently headquartered and builds product in its facility in Roberts, Wisconsin.  Major sectors served include automotive, aerospace, computer, electronic, networking and security.  In addition, the Company offers engineering assistance, CAD drawings, complete box builds/product assembly and part kitting.

“We first met the Cherry Tree team a few years ago.  Their early advice was helpful in our decision not to sell then but rather continue growing and strengthening our business.  When we were ready to sell, we engaged Cherry Tree.  They led a disciplined process that created a competitive situation among multiple qualified buyers.  The Cherry Tree team provided invaluable advice during the process and was with us every step of the way through closing. Cherry Tree worked closely with our financial and legal advisors and provided the overall project management to get a successful transaction completed.  The result was a great outcome for our shareholders, employees, and customers.” — Ray Stoner and Steve Oakins, Owners

Cherry Tree’s Role:
Cherry Tree was engaged to advise SOS Manufacturing and its shareholders in identifying the best partner to help SOS achieve its next phase of growth through a sale of the business. The objectives were to maximize shareholder value and terms of a transaction, while managing an efficient closing process. Cherry Tree’s role included preparing evaluation materials, identifying and screening buyers, soliciting proposals, negotiating terms, supporting due diligence, and facilitating the closing of a transaction. It was especially important to the shareholders and management team that the process was well planned and efficiently executed, to not disrupt the core business operations, and to complete the transaction in a timely manner.

About Auxo Investment Partners:
Auxo Investment Partners is a Grand Rapids, Michigan-based private investment firm that partners with owners and management teams of companies at transition points in their history. Auxo’s flexible capital model allows for long-term, growth-oriented decision-making without artificial deadlines. The structure was specifically designed for family businesses facing a generational transition or management teams seeking a partner to fuel growth and achieve their full potential with a long-term investment approach. Auxo’s unique philosophy aligns the interests of its companies, their employees, the communities in which they are located and its investors to achieve optimal outcomes for all. For more information, please visit www.auxopartners.com.