Catalyst at the heart of cross-border call centre firms deal

CATALYST Corporate Finance has advised private equity firm ISIS Equity Partners on the sale of LBM Direct Marketing (LBM) to US firm Stream Global Services Inc.

The financial terms of the deal were not disclosed.

LBM, the Altrincham-based call centre and data business, made operating profits of £2.8m on turnover of £48.7m in the year to May 2011.

The company has approximately 2,500 employees across six locations in the UK, providing solutions for companies in a range of industries, including telecommunications, financial services, utilities, automotive and retail.

Minnesota-based Stream operates more than 50 service centres globally with more than 37,000 employees worldwide.

Kathy Marinello, chairman and CEO of Stream said: ““This transaction is about delivering greater value to our clients and long-term growth for our company.

“LBM’s people, expertise and capabilities, combined with Stream’s financial strength, global presence, and sales and service offerings, will establish a broader portfolio of high-value service offerings for our clients.”

Birmingham-based Catalyst was appointed by ISIS and the management of LBM to advise the shareholders on the sale of the business. Catalyst worked with all shareholders to manage the cross border sale process. 

Mark Turner, partner of Isis Equity Partners, said: “Catalyst was absolutely critical to the success of this transaction. It worked closely with the LBM board over a number of years and demonstrated both a tremendous feel for the business and great professionalism in all aspects of its role.”

Jamie Hope, a partner at Catalyst, said: “ISIS and management formed a successful partnership, developing the business and enhancing its market reputation as the leading revenue generation outsourcer in the UK.

“Against a tough economic backdrop the business has consistently grown year on year, which is a real credit to the drive and enthusiasm of the management team and ISIS.

“We were delighted to work with all the team on this transaction and wish the business well as it pursues future growth opportunities under Stream’s ownership.”