10/15/19
Clarion Capital Partners Completes Investment in Harris & Harris Clarion Capital Partners Completes Investment in Harris & Harris
New York, NY, October 15, 2019 – Clarion Capital Partners, LLC (“Clarion”) today announced that it has completed an investment in Harris & Harris, Ltd. (the “Company”), a leader in accounts receivable management and customer care solutions. Arnie Harris, CEO of the Company, and David Harris, COO of the Company, will maintain meaningful ownership in Harris & Harris, and will continue in their current positions. The terms of the transaction, which closed on September 27th, were not disclosed.
The partnership with Clarion will enable Harris & Harris to expand its service offerings and to make investments in its employees, compliance, and technology infrastructure. These investments will allow the Company to deliver even more value to its clients. Clarion and Harris & Harris will seek M&A opportunities to expand the Company geographically and to add new services.
“When my father founded the business more than 50 years ago, he said that the road to success for a business is to focus on people, both at our clients and with our employees,” said Arnie Harris. “As we considered potential investors, our focus on people brought us to a partnership with Clarion which will allow us to continue the success we’ve demonstrated over the last 50 years. Clarion’s approach to partnership and its long-term focus aligns perfectly with the future we see for Harris & Harris.”
Jon Haas, a Partner at Clarion added: “Harris & Harris is a leader in its core government, healthcare, and utility markets, and has an exciting opportunity to grow organically within those segments. Clients in those segments require a high standard from their accounts receivable management and business process outsourcing providers, and we believe Harris & Harris is unmatched in its integrity, client service, and performance.” Eric Kogan, a Partner at Clarion further added, “We have really enjoyed getting to know the Harris & Harris team over the last few months and are excited to work with the Company to make its future even brighter than its impressive history.”
Mesirow Financial served as exclusive financial advisor to Harris & Harris in this transaction, Kaulkin Ginsberg Company served as special advisor, and Much Shelist, P.C. served as legal counsel. Clarion Capital was advised by the law firms of Greenberg Traurig, LLP, Venable LLP, and Mintz, Levin, Cohn, Ferris, Glovsky and Popeo, PC. Financing for the transaction was provided by Midcap Financial and Greyrock Capital.
About Clarion
Founded in 1999, Clarion is a New York-based investment manager operating two primary business segments: Private Equity (launched in 1999) and Structured Credit (launched in 2018). Clarion’s private equity business seeks to make primarily control investments in a diversified portfolio of lower middle-market companies generating $7.5-30.0 million of EBITDA. Clarion focuses on growth companies in industries such as: Media, Entertainment & Technology; Financial Technology & Services; Business, Healthcare & Industrial Services; and Consumer. Clarion’s structured credit business focuses mostly on CLO equity and mezzanine investments, sourced both in the primary and secondary markets. The structured credit team manages traditional private funds and an insurance-dedicated fund. Additional information on Clarion can be found at www.clarion-capital.com.
About Harris & Harris
Harris & Harris is an accounts receivable management and customer care firm, providing first-party and third-party debt collection, third party liability, and other complementary services through advanced onshore call-centers. Harris & Harris is headquartered in Chicago, Illinois. Additional information on Harris & Harris can be found at www.harriscollect.com.