BG Staffing Acquires MSP EdgeRock Technology Partners
BG Staffing has acquired EdgeRock Technology Partners, a nationwide managed IT services provider (MSP) and IT consulting firm focused on Oracle, SAP, Salesforce, ServiceNow, WorkDay and Tableau application deployments. The deal’s price tag is $21.6 million in cash.
EdgeRock’s fiscal 2019 revenues were $41 million — pegging the deal’s value at roughly 52 cents for each revenue dollar. The company did not disclose its revenue mix (product, professional services, recurring managed services, etc.) or its EBITDA profit margins.
BG Staffing Acquires EdgeRock: Application Focus
EdgeRock, founded in 2005, is headquartered in Boston, Massachusetts with offices in Phoenix, Arizona and Tampa, Florida. The company’s IT consulting staff covers 40 states, the firm says. Areas of expertise include:
- Enterprise resource planning (ERP)
- business intelligence (BI); and
- customer relationship management (CRM).
EdgeRock’s key application software partners include Oracle, Salesforce, SAP, ServiceNow, WorkDay. EdgeRock also works with data analytics and business intelligence software providers like IBM Cognos, Informatica, Qlik and Tableau.
The buyer, BGSF, is based in Plano, Texas. The company’s staffing and workforce services span IT, Cyber, Finance & Accounting, Creative, Real Estate (apartment communities and commercial buildings), and Light Industrial.
EdgeRock is BGSF’s eleventh acquisition since 2009. The EdgeRock trade name will remain and operate as a separate brand within the BGSF family of companies, the buyer says.
BG Staffing Acquires EdgeRock: Executive Perspectives
Explaining the deal, Beth A. Garvey, president and CEO of BGSF, said:
“We are thrilled to welcome the expertise and energy of the EdgeRock Technology team into our Professional segment. EdgeRock is a premier brand with an outstanding reputation. It’s synergies and ‘people-first’ approach fit hand-in-glove to support our culture, our mission (to always provide the most excellent support and service to our clients), and our vision as a premier provider of strategic workforce solutions.
EdgeRock brings a high-quality, diversified client base and adds its unique outsourced solution center (delivering management consulting services, strategic roadmap development, assessments, planning and support work). It also brings multi-year customer contracts with a recurring revenue model.”
Matt Murray, co-founder and VP sales, and Tim Gibbons, co-founder and VP delivery, of EdgeRock Technology jointly stated:
“We are very excited to become a brand within BG’s impressive portfolio of companies. The synergies within BG’s organization provide tremendous opportunity for EdgeRock to continue to grow as an Enterprise partner to the Fortune 1000 Market and enables our accelerated growth as demand continues.”
BMO Harris Bank, the lead agent, provided financing through BGSF’s existing credit facility. Bowstring Advisors acted as exclusive financial advisor to EdgeRock.