Select Staffing and EmployBridge to merge
The combined company will operate the businesses under their existing brand names. Select Staffing is majority owned by affiliates of Anchorage Capital Group, L.L.C. and BlueMountain Capital Management, LLC. Morgan Stanley Global Private Equity and Constitution Capital, majority owners of EmployBridge since May 2011, will exit their stakes in EmployBridge in full upon closing.
Terms of the transaction, which is scheduled to close in February, were not disclosed.
The merger of Select Staffing and EmployBridge brings together two strong and well-respected staffing companies with highly complementary geographic footprints and approximately $3 billion in combined annual revenue.
The combined company will have an expanded portfolio of specialized staffing solutions customized to deliver value across the supply chain, including manufacturing, logistics and transportation.
Serving nearly 20,000 customers with more than 490 branch and on-site locations across North America, the new company will have unrivaled scale and reach, creating enhanced opportunities to serve clients more efficiently and provide exciting professional opportunities for employees.
“This compelling transaction provides a unique opportunity to create the premier North American staffing company, with an expanded suite of services, broader geographic reach and enhanced professional opportunities for our combined team,” said Steve Sorensen, chief executive officer of Select Staffing.
“We have tremendous respect for EmployBridge and its management team, which has differentiated itself through its branded portfolio of staffing solutions and its locally operated model, as well as its industry leading technology-enabled delivery platform. With a career satisfaction rating of 98%, EmployBridge has a track record of offering attractive career opportunities in a respectful and caring work environment. Together, we are stronger, and I look forward to our bright future ahead.”
“We are excited to join forces with Select Staffing, a distinguished industry leader. Building on our shared values and complementary footprints, our new company will be even better positioned to deliver significant client benefits and enhanced levels of service,” said Tom Bickes, Chief Executive Officer of EmployBridge. “This combination is a testament to the strength of our brands and the accomplishments of our dedicated team members. Together, we will be even better positioned to capitalize on the changing economic trends towards more flexible workforces, increasing scarcity of skilled workers and the outsourcing of talent management. I am thrilled to partner with the Select Staffing family as we embark on this exciting next chapter of growth.”
The combined company will feature tenured leadership from both companies. Tom Bickes will serve as Chief Executive Officer and member of the Company’s Board of Directors, Paul Sorensen will be President and Shawn Poole will be Executive Vice President and Chief Financial Officer. Steve Sorensen will become Vice Chairman of the Board of Directors and retire from management. The remainder of the Company’s Board of Directors will consist of current Select Staffing board members: Al Aguirre, who will remain Chairman of the Board Gary DiCamillo Steve Giusto and Greg Netland.
The combined company will be headquartered in Atlanta, GA with significant corporate operations centers in Santa Barbara, CA Irving, TX and throughout other centers in the U.S.
Credit Suisse served as financial advisor and Milbank, Tweed, Hadley & McCloy LLP served as legal counsel to Select Staffing. William Blair & Company served as financial advisor and Debevoise & Plimpton LLP served as legal counsel to EmployBridge.