GTCR Recapitalizes Serent Portfolio Company Optimal Blue

GTCR Recapitalizes Serent Portfolio Company Optimal Blue

June 17, 2016

San Francisco, CA – June 17, 2016 — Serent Capital, a San Francisco-based private equity firm, announced today that it has signed a definitive agreement with GTCR to recapitalize Optimal Blue, Inc, the premier cloud-based provider of Enterprise Lending Services to the mortgage industry. As part of the transaction, GTCR will purchase a majority position, while Serent and Optimal Blue Founders, Larry Huff and Ivan Darius, will retain meaningful equity interests in the company.

Founded in 2002, Optimal Blue is a leading cloud-based provider of managed-content, product eligibility and pricing, secondary marketing, point-of-sale, compliance, and data & analytics technology and services. The company has developed an enterprise class suite of products and services designed to automate a lender’s complex processes, improving efficiency and profitability while gaining a competitive advantage.

“On behalf of the entire team at Optimal Blue, I express our heartfelt thanks to Serent Capital for partnering with us over the last several years. The partnership was built on a foundation of trust and shared values, and we felt very much shoulder-to-shoulder with them throughout,” said Larry Huff, co-CEO and co-Founder of Optimal Blue.

Ivan Darius, also the co-CEO and Co-Founder of Optimal Blue, continued, “Collectively, we were able to work together to exceed our goals. Since Serent’s investment, the company grew by over 40% annually, while maintaining strong profitability. Serent supported these results through their strategic thought-partnership, operational support, and organizational development capabilities.”

“The partnership with the Optimal Blue has been highly successful,” said Kevin Frick, Serent Partner. He continued, “The management transformed the business in scale and capabilities while winning numerous awards along the way. We are very fortunate to have partnered with Larry, Ivan, and the entire Optimal Blue team. The company’s performance speaks for itself. What is not as obvious, but is equally as true, is the class with which they accomplished it.”

He continued, “We are looking forward to partnering with GTCR. They have a very deep understanding of the mortgage technology market, and a track record for successfully scaling technology businesses. We see this as the next chapter in Optimal Blue’s long track record of serving its customers incredibly well, while successfully scaling its business.”

The transaction is expected to close during the third quarter of 2016. Financial Technology Partners acted as the sole financial adviser to Optimal Blue and Serent on this transaction.

About Serent Capital

Serent Capital invests in growing businesses that have developed compelling solutions that address their customers’ needs. As those businesses grow and evolve, the opportunities and challenges that they face evolve with them. Principals at Serent Capital have firsthand experience at capturing those opportunities and navigating those challenges through their experiences as CEOs, strategic advisors, and board members to successful growing businesses. By bringing its experience and capital to bear, Serent helps growing businesses thrive.

For more information on Serent Capital, visit www.serentcapital.com.

About Optimal Blue

Optimal Blue is the premier cloud-based provider of managed-content, enterprise lending services including product eligibility and pricing (PPE), secondary marketing, consumer engagement, data and analytics, and compliance services. Based in Plano, Texas, Optimal Blue has developed an enterprise class suite of products and services designed to automate a lender’s complex processes, improving efficiency and profitability while gaining a competitive advantage. With a 99.999% accuracy rate, Optimal Blue technology connects hundreds of investors with more than 1,500 financial institutions and currently touches nearly 1 of every 4 mortgage loans originated nationally.

For additional information, visit www.optimalblue.com.

About GTCR

Founded in 1980, GTCR is a leading private equity firm focused on investing in growth companies in the Financial Services & Technology, Healthcare, Technology, Media & Telecommunications and Growth Business Services industries. The Chicago-based firm pioneered The Leaders Strategy(tm) – finding and partnering with management leaders in core domains to identify, acquire and build market-leading companies through transformational acquisitions and organic growth. Since its inception, GTCR has invested more than $12 billion in over 200 companies.

For more information, please visit www.gtcr.com.

Serent Capital invests in growing businesses that have developed compelling solutions that address their customers' needs. As those businesses grow and evolve, the opportunities and challenges that they face change with them. Principals at Serent Capital have firsthand experience at capturing those opportunities and navigating these difficulties through their experiences as CEOs, strategic advisors, and board members to successful growing businesses. By bringing its expertise and capital to bear, Serent seeks to help growing businesses thrive. Learn more about our portfolio companies.

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