Gryphon Investors to Sell Jensen Hughes to New Mountain Capital

Business Wire

Gryphon Investors (“Gryphon”), a leading middle-market private investment firm, announced today that it has entered into a definitive agreement to sell its portfolio company Jensen Hughes (the “Company”), a global leader in fire protection engineering, nuclear risk engineering and related safety consulting services, to New Mountain Capital (“New Mountain”). Financial terms of the transaction were not disclosed.

Founded in 1939, Jensen Hughes provides mission-critical services that help clients protect lives and property, satisfy regulatory requirements and manage operational risk across a diverse range of end markets and geographies.

Since Gryphon’s initial investment in December 2015, Jensen Hughes has more than tripled in size, expanding its global footprint and service capabilities through a combination of organic growth and strategic acquisitions. The Company now has approximately 2,000 employees across 110 offices and serves clients in more than 100 countries.

Raj Arora, Chief Executive Officer of Jensen Hughes, added, “This transaction is an important milestone for Jensen Hughes and a testament to the extraordinary expertise, commitment and hard work of our people. We are grateful for Gryphon’s partnership and support in helping Jensen Hughes become the global organization it is today. New Mountain shares our belief in the strength of our capabilities and culture, as well as the significant opportunities ahead, and I am confident that their experience, expertise and resources will help us achieve our goals.”

“It has been a privilege to partner with Raj and the Jensen Hughes team throughout this period of significant growth and transformation,” said Leigh Abramson, Co-CIO, Deal Partner and Co-Head of the Industrial Growth Group at Gryphon Investors. “Over the course of our partnership, Jensen Hughes established itself as a true global leader, while remaining firmly committed to its clients, employees and mission. We are extremely pleased with the Company’s trajectory and wish Raj and New Mountain the best as they lead this exceptional company into its next chapter.”

“Jensen Hughes is emblematic of Gryphon’s integrated deal and operations model in action,” said Scott Hearn, Operating Partner and Co-Head of the Industrial Growth Group at Gryphon Investors. “Through significant investments in people, technology, systems and capabilities, the Company has been able to successfully expand its geographic reach and strengthen its capabilities. Raj and the Jensen Hughes team have built an exceptional platform for sustained growth.”

BofA Securities served as lead financial advisor to Jensen Hughes and Kirkland & Ellis LLP acted as its legal advisor. AEC Advisors & Harris Williams served as co-financial advisors and Ropes & Gray served as legal counsel to New Mountain.

The transaction is subject to customary closing conditions including regulatory approvals.

About Jensen Hughes

Jensen Hughes is the global leader in engineering, consulting and technology solutions specializing in fire protection engineering and nuclear risk engineering. With a legacy that dates back to 1939, the company’s 2,000+ engineers, consultants and other employees work together to support clients in more than 100 countries from over 110 offices worldwide. Across a broad range of end-markets, our multidisciplinary expertise includes code consulting, systems design, risk analysis, process safety management, laboratory testing, emergency management, and security risk consulting. Everything we do is guided by a single purpose: making our world safe, secure, and resilient. For more information, visit www.jensenhughes.com.

About Gryphon Investors

Gryphon Investors is a leading middle-market private investment firm focused on growing competitively-advantaged companies in the Business Services, Consumer, Healthcare, Industrial Growth, Software, and Technology Solutions & Services sectors. With more than $10 billion of assets under management, Gryphon’s three core investment strategies include its Flagship, Heritage, and Junior Capital Funds. Gryphon prioritizes investments in which it can form strong partnerships with founders, owners, and management teams and generate enduring value through its integrated deal and operations business model. Gryphon’s highly-differentiated model integrates its well-proven Operations Resources Group led by full-time senior operating executives and functional experts in artificial intelligence, capital markets, finance & accounting, human capital and information technology. To learn more, please visit www.gryphoninvestors.com.

About New Mountain Capital

New Mountain Capital is a New York-based investment firm that emphasizes business building and growth, rather than excessive risk, as it pursues long-term capital appreciation. The firm currently manages private equity, strategic equity, credit, GP-led secondaries, and net lease real estate funds with approximately $60 billion in assets under management. New Mountain seeks out what it believes to be the highest quality growth leaders in carefully selected industry sectors and then works intensively with management to build the value of these companies. For more information, please visit https://www.newmountaincapital.com/.