Challenger Capital Group Merges With Foxbridge Partners to Create Combined Investment Banking, Private Equity Firm
30 4월 2007 - 11:00PM
PR Newswire (US)
Dallas Executives Mark Stephens and Doug Wheat Leverage 28 Years of
Joint Experience and Complementary Skills to Fill Void in Middle
Market DALLAS, April 30 /PRNewswire/ -- Challenger Capital Group,
Ltd., a Dallas investment bank, announced that it has merged with
Foxbridge Partners, LLC, a private equity firm founded by veteran
financier Douglas D. Wheat. The combined firm, which will retain
the Challenger name, will serve as a regional financial services
institution, offering both advisory services and private equity
funding. After 28 years of working together on various ventures and
deals, Mark W. Stephens, founder and executive director of
Challenger, and Wheat, chairman of Foxbridge, are teaming up to add
a strategic private equity component to Challenger's banking
services. The new firm brings a combined model unique to the South
Central U.S. region. "The combination of an independent advisory
business with a broad set of relationships will provide a
differentiated investment platform upon which to launch a private
equity fund," said Wheat, chairman of the combined entities. "This
will be unique in our market, but it is a formula that has been
successfully employed by a number of Northeastern firms. Not only
will we have the flexibility to invest alongside our investment
banking clients, we will also have more professionals sourcing
transactions than private equity firms that have greater amounts of
capital under management." Challenger's immediate plans include the
commencement of raising a private equity fund with target
commitments around $300 million and a first closing around the end
of the year. "The combination of our two firms establishes a strong
platform from which we will continue implementing our strategic
plan of building a financial services institution," said Stephens,
executive director and president of the new Challenger. "Doug and I
bring nearly three decades of experience working together to the
new firm, creating a powerful business platform for leadership
across the spectrum of investment banking and private equity
transactions. The broad range of transaction and fundraising
experience we offer benefits middle-market clients." Wheat and
Stephens' joint experience dates back to 1979 when Wheat provided
legal representation to Stephens, who was serving as underwriter
and placement agent at Rotan Mosle and Merrill Lynch. In the early
1980s, Wheat and Stephens were instrumental in the formation of the
Dallas office of Donaldson, Lufkin & Jenrette, as well as DLJ
Merchant Banking Partners. Prior to Foxbridge, Wheat was president
and co-founder of Dallas-based Haas Wheat & Partners, a private
investment firm. Prior to Challenger, Stephens was a managing
director of Donaldson, Lufkin & Jenrette, and later, a managing
director of Credit Suisse. In connection with the merger, Peter T.
Grauer, chairman, president and chief executive officer of
Bloomberg Inc., and a former colleague of Wheat and Stephens at
Donaldson, Lufkin & Jenrette, has joined Challenger's board of
directors. "With the amount of capital available today, the
benefits of investment banking capabilities, along with the private
equity resources, create a compelling value proposition for
middle-market companies," Grauer said. "I have known Doug and Mark
for 20 years, and their merger represents the combination of two
highly regarded and successful dealmakers." "The addition of Peter
to the board strengthens an already impressive group of
distinguished business executives," Wheat said. "Their leadership
will help guide Challenger to becoming the preeminent independent
financial services firm in the region." Challenger's new board of
directors, all of whom are capital investors in the company,
include R. Todd Bradley, executive vice president of Hewlett-
Packard's Personal Systems Group; James J. Ellis, managing partner
of Ellis Rosier; Michael C. French, executive director of
Challenger; Peter T. Grauer, chairman, president and chief
executive officer of Bloomberg Inc.; Gary R. Griffith, chairman and
chief executive officer of Apex Global Partners Inc.; Joseph E.
Hawkins, chief executive officer of MHA Group, a healthcare
staffing company which is now a part of AMN Healthcare Services
Inc.; and Jerry M. Meyer, chairman and chief executive officer of
Walls Industries Inc. Challenger has also formed an advisory board
to assist in sourcing and reviewing investment opportunities in
middle-market companies. The advisory board consists of Herbert M.
Baum, former chief executive officer and chairman of The Dial
Corporation, chief operations officer of Hasbro Inc., and chairman
and chief executive officer of Quaker State Corporation; Steven C.
Francis, co-founder and chairman of AMN Healthcare Services Inc.,
the nation's largest healthcare staffing firm; R. Jeffrey Harris,
former general counsel and director of Sybron Dental Specialties
Inc., and current director of Prodesse Inc. and PhysioGenix Inc.,
two early stage biotechnology companies, as well as Playtex
Products Inc. and AMN Healthcare Services Inc.; Harry R. Jacobson,
M.D., vice chancellor for Health Affairs at Vanderbilt University
and chief executive officer of the Vanderbilt Medical Center; Nick
White, former executive vice president of Wal-Mart Stores Inc. and
general manager of Sam's Clubs; and Kenneth F. Yontz, former
chairman of Apogent Technologies Inc., a supplier of laboratory
equipment and supplies, until it was acquired in 2004, and former
chairman of Sybron Dental Specialties Inc., until it was acquired
in 2006. The combined firm will have an initial staff of 15
professionals with a combined transaction resume of more than 363
investment banking transactions, totaling $70.7 billion in value,
and 15 private equity transactions, totaling $10 billion. Since the
firm commenced business in 2005, Challenger has completed 14
engagements. About Foxbridge Partners Foxbridge Partners, a
Dallas-based private equity firm, was founded in 2006 by Doug Wheat
and Todd Robichaux to focus on middle-market investments. About
Challenger Capital Group Challenger Capital Group, a full-service
investment bank with offices in Dallas and Chicago, has backing
from more than 50 investors with professional experience in a wide
range of industries. In addition to acting as advisors to
Challenger, these investors provide a significant referral
resource. Challenger's industry expertise includes transactions in
the consumer products, energy, entertainment, food service,
healthcare, industrial products, media, natural gas, oilfield
service, publishing, retail and telecom sectors. For more
information, please visit http://www.challengercapitalgroup.com/ .
DATASOURCE: Challenger Capital Group, Ltd. CONTACT: Peggy Bureau,
Director of Communications of Challenger Capital Group, Ltd.,
+1-214-239-8608, or ; or Elizabeth Browne of Michael &
Partners, +1-972-716-0500, ext. 26, or , for Challenger Capital
Group, Ltd. Web site: http://www.challengercapitalgroup.com/
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