H.I.G. Capital News
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H.I.G. Capital Closes the Acquisition of the Corrections Division of Compass Group PLC
MIAMI - April 10, 2012 - H.I.G. Capital, LLC, a leading global private investment firm, announced today that an affiliate has completed the acquisition of the correctional services business (“Trinity”) of Compass Group PLC (LSE: CPG). Trinity, which operates under the brand names Trinity Services Group and Canteen Corrections, is one of the three largest providers of outsourced food service and commissary services to the corrections industry. Going forward, the business will operate exclusively under the name “Trinity Services Group”. Compass Group will retain a meaningful ownership stake in Trinity.
Based in Tampa, Florida, and with revenues in excess of $300 million, Trinity provides outsourced food and commissary services to more than 200,000 inmates at over 300 correctional facilities across 33 states (including Puerto Rico and the US Virgin Islands). By leveraging its procurement, distribution and human resource expertise, the Company delivers high quality and nutritious meals to correctional facilities for far less than they could on their own, thus helping to relieve governmental budgetary pressures. The existing management team, which will continue to manage and operate the company, is led by Larry Vaughn who founded Trinity over 20 years ago and said, “I am very excited to be embarking on the next stage of Trinity’s growth. As a standalone business with the backing of both H.I.G. and Compass Group, we are well equipped to cement our position as the preeminent player in our industry.”
Matt Sanford, a Managing Director at H.I.G. Capital, added “We are excited to partner with Larry and his team to grow Trinity through investments in people and systems and a dedicated focus on the corrections industry. We believe our extensive experience investing in the corrections and food services industries will enable us to bring significant value to this investment. We also pleased to be working on an ongoing basis with Compass Group.”
Tom Ondrof, Chief Strategy Officer for Compass Group USA, commented, “Trinity has been a valuable asset for Compass for many years. We welcome the acquisition by H.I.G. and believe the new standalone structure will allow the Trinity team to further develop and focus the business on delivering exceptional service to its customers.”
About H.I.G. Capital
H.I.G. Capital is a leading global private equity investment firm with more than $8.5 billion of equity capital under management. Based in Miami, and with offices in Atlanta, Boston, Chicago, Dallas, New York, and San Francisco in the U.S., as well as international affiliate offices in London, Hamburg, Madrid, Paris and Rio de Janeiro, H.I.G. specializes in providing capital to small and medium-sized companies. H.I.G. has extensive experience with financial restructurings and operational turnarounds. Since its founding in 1993, H.I.G. has invested in and managed more than 200 companies worldwide. The firm's current portfolio includes more than 50 companies with combined revenues in excess of $8 billion. For more information, please refer to the H.I.G. website at www.higcapital.com.