News
Transaction Reflects Private Equity’s Increased Focus on Driving Value Creation Through Operational Improvement
NEW YORK – October 7, 2024 – VSS Capital Partners (“VSS”), a private investment firm investing in the healthcare, education, and business services industries, today announced that it has completed a platform investment in Treya Partners (“Treya” or “the company”), a management consulting firm specializing in procurement value creation, strategic sourcing, and spend management advisory services for mid-market private equity-backed corporate clients. Financial terms of the private transaction were not disclosed.
"We see strong growth opportunities for Treya - both organic and inorganic - as private equity firms sharpen their focus on driving value creation through operational improvements in a challenging market environment,” said Trent Hickman, Managing Director at VSS. “Historically, lower middle market businesses have had less access to highly sophisticated, outsourced procurement options than their upstream competitors, but Treya effectively evens the playing field, allowing smaller companies access to material savings.”
Founded in 2006 and headquartered in San Francisco, Treya’s core services include procurement consulting services, such as spend analysis, strategic sourcing, and procurement transformation, and group purchasing contracts. Poised for growth given favorable market trends, the company serves clients across vertical industries such as healthcare, retail, manufacturing and business services, leading to meaningful cost savings for private equity portfolio companies. The new VSS platform investment falls within the business services sector – one of three VSS target verticals.
"We’re thrilled to have the support of the VSS team to embrace the next stage of Treya’s development,” said Rahul Ahuja, Co-Founder and Partner of Treya Partners. “VSS’s decades-long commitment to value creation in the lower middle market makes this a highly rewarding partnership. We look forward to drawing on their strategic expertise as we pursue meaningful growth opportunities over the near and mid-term.”
Treya’s current management team, in partnership with VSS, plans to expand the company’s product offerings and explore strategic M&A opportunities utilizing VSS’s buy-and-build approach.
Favorable tailwinds for Treya include the overall level of growth and increasing competition in private equity, which has led to an ever-increasing focus on driving value creation through operational improvements.
Equiteq served as financial advisor and Fox Rothschild provided legal counsel to Treya, while Willkie Farr & Gallagher provided legal counsel to VSS.
About VSS Capital Partners (www.vss.com)
Headquartered in New York, VSS is a private investment firm that invests in healthcare, business services and education companies. Since 1987, VSS has partnered with lower middle-market companies, working closely with management teams, to facilitate their next stage of growth. VSS provides capital for growth financings, recapitalizations, strategic acquisitions, and buyouts with the flexibility to invest control or non-control capital, based on the needs and objectives of each company. VSS has managed $4 billion in committed capital across 8 funds and has completed 100 platform investments and over 600 add-on acquisitions.
About Treya Partners (www.treyapartners.com )
Treya Partners® is a consulting firm specializing in procurement value creation, strategic sourcing, and spend management advisory services for Private Equity. Treya was established in 2006 by a seasoned group of supply management professionals and serves PE-owned companies across a broad range of industry sectors including manufacturing, distribution, retail, financial services, life sciences, healthcare, and technology. For further information, visit Treya Partners online at www.treyapartners.com.
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