HelpSystems, an Eden Prairie software firm with sales up about 13 percent so far this year, has been acquired by H.I.G. Capital of San Francisco.
About 10 senior managers and locally based Split Rock Partners are investing along with H.I.G., a big private equity firm that is acquiring HelpSystems from Summit Partners of Boston. Terms of the deal were undisclosed.
HelpSystems, which has added 40 jobs this year, employs about 365 around the country. The company had revenue of $110 million last year and boasts 9,000 customers. It provides system and network management, business intelligence and security and compliance software.
Fraser Preston, managing director at H.I.G., said the firm, with about $19 billion in committed equity capital spread among portfolio companies, looks forward to helping HelpSystems continue its "strong growth."
"We share core philosophies of taking exceptional care of customers and employees, and together we'll continue on the mission of delivering software that makes IT lives easier and solves real problems," HelpSystems CEO Chris Heim said.
Heim, 51, is a veteran Twin Cities technology CEO and entrepreneur who took over HelpSystems in January from longtime CEO Janet Dryer. She left the firm but remained on the board, after nearly 30 years of service to the company. Dryer was the third employee hired in 1985.
Earlier this year, Heim, who has been a HelpSystems board member for several years, and Chief Financial Officer Dan Mayleben, a longtime associate at two previous firms, recruited old colleague Kate Bolseth to manage cross-platform businesses at HelpSystems. Bolseth, who worked with the two at HighJump Software and Amcom Software, was CEO of small-software firm Jingit.
Heim also said the firm is putting in place an employee stock-option program.