Crossmark Gets Majority Investment From Private Equity Firm

PLANO, Texas -- Sales and marketing company Crossmark announced it is entering a definitive merger agreement with an affiliate of global equity firm Warburg Pincus. Under the agreement, Warburg Pincus will make a majority investment in Crossmark, while the current management owners of Crossmark will maintain their equity positions and continue to lead the company following the deal’s closing.

Founded in 1966 and headquartered in New York, Warburg Pincus has raised 13 private equity funds that have invested more than $40 billion in 650-plus companies worldwide.

"The Warburg Pincus partnership will provide growth capital that will allow Crossmark to make acquisitions, expand our service offerings and further enhance our capabilities to deliver even better service to our clients and customers," John Thompson, Crossmark’s CEO, said in a press release. "We are pleased to have a partner with a common vision and a track record of backing management with resources, expertise and relationships."

Warburg Pincus' managing directors Jim Neary and Rob Feuer also expressed optimism about the partnership.

"Building on Crossmark’s industry leadership -- combined with its diverse network of key retailers, talented workforce and unique approach -- we believe the company is well positioned for sustained growth and success," said Neary.

While the terms of the transaction were not disclosed, Crossmark noted that Merrill Lynch acted as its exclusive financial advisor. Warburg Pincus sought financial advice from Sawaya Segalas & Co. and legal advice from Cleary Gottlieb Steen & Hamilton LLP.