NEW YORK, January 4, 2023 – BC Partners, a leading international investment firm, has announced the majority acquisition of Madison Logic, a premier business-to-business account-based marketing (ABM) firm, from Clarion Capital Partners. The transaction, finalized on December 30, 2022, sees BC Partners taking a controlling stake in Madison Logic, while Clarion Capital Partners retains a minority interest, demonstrating their continued confidence in the company’s trajectory. This strategic move highlights BC Partners’ commitment to expanding its portfolio within the technology sector and specifically within digital marketing services.
Madison Logic stands as a global leader in the rapidly evolving ABM space, offering cutting-edge solutions through its proprietary platform. This platform empowers businesses to enhance their sales and marketing effectiveness through targeted, account-centric strategies. Under Clarion Capital Partners’ ownership, Madison Logic experienced substantial organic growth, fueled by a focused market approach, strategic technology investments, and a high-performing global team. Notably, the company achieved a compound annual growth rate of 19% in revenue during this period. The reported enterprise value of the transaction was $750 million, as previously cited by Reuters, underscoring the significant value and potential of Madison Logic in the market.
This acquisition aligns perfectly with Bc Capital Partners‘ investment philosophy, which prioritizes industry-leading companies in high-growth sectors. Raymond Svider, Chairman of BC Partners, articulated this strategic rationale: “Madison Logic embodies the key themes that we look for at BC Partners and within the Technology sector: it is an industry leader in a secularly growing market with multiple avenues for growth and a strong management team. The business is the ideal platform to invest in this attractive segment of the market and, consistent with our ‘owner-operator’ mindset, we are excited to work with Tom O’Regan, CEO and Vin Turk, COO and co-founder of Madison Logic, and their team in this next phase of the journey to execute their strategy and support them in further developing their technology and services offerings.” His statement emphasizes BC capital partners’ approach of actively supporting portfolio companies to achieve their full potential.
The partnership with BC capital partners is poised to propel Madison Logic into its next phase of expansion. With BC Partners’ deep expertise in technology-enabled services and digital marketing within the global Technology, Media, and Telecom (TMT) sector, Madison Logic is strategically positioned to accelerate its growth trajectory. The focus will be on enhancing the functionality of Madison Logic’s already robust technology platform and further optimizing service delivery to its expanding client base. The company anticipates leveraging this new partnership to explore opportunities in new industries, broaden its geographical reach, and expand its advertising mediums, as well as pursue strategic acquisitions to complement its organic growth.
Tom O’Regan, CEO of Madison Logic, expressed enthusiasm about the future: “With the active support of the Clarion team, Madison Logic has grown substantially and established its leadership position in the market. The Madison Logic team and I are thrilled to now continue in the next stage of our very ambitious growth path with BC capital partners, and confident that this will unlock significant new growth opportunities across the business. We look forward to a collaborative partnership with BC Partners, which has extensive experience fostering portfolio companies’ potential.” This positive outlook is shared by Clarion Capital Partners, who, despite selling a majority stake, will maintain a minority ownership, signaling their ongoing belief in Madison Logic’s future success under the guidance of BC capital partners. David Ragins, Managing Director at Clarion, commented, “The execution by the Madison Logic team has been nothing short of incredible as they’ve scaled the company to become a global leader in Account Based Marketing. It has been a pleasure being part of such a great company and we wish the team continued success with their new majority partner. We are continuing to hold an equity interest in Madison Logic as an indicator of our belief in the Company’s future.”
LUMA Partners served as the exclusive financial advisor to BC capital partners for this transaction, and Kirkland & Ellis LLP provided legal counsel. Madison Logic and Clarion Capital Partners received financial advisory services from William Blair, and legal counsel from Brownstein Hyatt Farber Schreck, LLP.
This acquisition marks a significant development in the ABM landscape and underscores BC capital partners‘ strategic focus on investing in high-growth technology businesses with strong market leadership and significant future potential. The collaboration between Madison Logic and BC capital partners is anticipated to drive innovation and further solidify Madison Logic’s position as a global leader in account-based marketing solutions.
