Thompson Street Capital Partners Unveils Second Continuation Fund

Thompson Street Capital Partners Unveils Second Continuation Fund

Thompson Street Capital Partners (TSCP), a prominent private equity firm, proudly announces its completion of a strategic single-asset secondary market transaction. This move not only strengthens its ongoing partnership with Gurobi Optimization, the leader in mathematical optimization software, but also marks a significant milestone for TSCP as it heralds the launch of its second continuation fund.

Establishment of a New Fund

This continuation fund has been meticulously established to facilitate the acquisition of Gurobi, providing access to ample add-on capital aimed at propelling growth initiatives. Through this transaction, TSCP is poised to not only maintain but also expand Gurobi's innovative efforts and strategic acquisition plans.

Gurobi's Impact in the Market

Gurobi Optimization has been pivotal in helping over 1,200 global clients harness their data for intelligent decision-making through its specialized mathematical optimization software. This enables organizations to transform data insights into actionable strategies, showcasing the invaluable contributions of Gurobi to the field of decision intelligence.

Success and Growth Under TSCP's Guidance

Since its acquisition of Gurobi in 2017 through a TSCP Fund IV investment, TSCP has worked closely with Gurobi's founders and management team to enhance the company's performance. Their collaboration has focused on innovating technology, streamlining operations, and optimizing pricing and packaging strategies, which resulted in an impressive increase of over 8x in annual recurring revenue and workforce size during the partnership.

Bob Dunn, TSCP’s Managing Partner, expressed excitement over this new chapter, stating, "Establishing our second continuation fund signifies a key development for Thompson Street. Gurobi stands as one of our top-performing portfolio companies, and we are thrilled to further our collaboration through this new entity. Our gratitude extends to Hamilton Lane, StepStone, and all investors for their unwavering support."

Testimonials from Gurobi's Leadership

Dr. Edward Rothberg, Gurobi's co-founder and chairman, shared his enthusiasm about the partnership, stating, “Our collaboration with Thompson Street has yielded tremendous results, and this continuation fund paves the way for sustained success and growth.”

Duke Perrucci, CEO of Gurobi, added, “Thanks to our partnership with TSCP, we can continuously deliver unparalleled service and solutions to our clients. The infusion of this new capital will empower us to execute complementary acquisitions and expand our product offerings, thus delivering new value to our customers.”

The Future of Gurobi

Craig Albrecht, Managing Director at TSCP, reflected on the potential of Gurobi, stating, “Gurobi is an extraordinary business driven by remarkable individuals, and we are privileged to extend our partnership. Together, we will strive for sustained growth, innovation, and leadership in the burgeoning market of prescriptive analytics.”

Evercore played a crucial role as the financial advisor in this transaction, with Kirkland & Ellis providing legal counsel to TSCP and Sidley Austin supporting Gurobi.

About Thompson Street Capital Partners

Thompson Street Capital Partners (TSCP) is a influential private equity firm based in St. Louis, focusing on investments in founder-led middle-market companies across various sectors, including Software & Technology, Life Sciences & Healthcare, and Business and Consumer Services. TSCP is dedicated to partnering with management teams to drive growth and increase value through both organic initiatives and strategic acquisitions.

About Gurobi Optimization

Founded in 2008, Gurobi Optimization has established itself as a leading provider of mathematical optimization and decision intelligence solutions. With a customer base exceeding 1,200 organizations worldwide, Gurobi’s optimization solver is widely recognized for its ability to tackle numerous business challenges, ultimately aiding companies in making optimal decisions that significantly impact their operations.

Frequently Asked Questions

What is the purpose of the new continuation fund for TSCP?

The new continuation fund aims to acquire Gurobi and provide additional capital for growth initiatives, including strategic acquisitions.

How has Gurobi's performance been under TSCP's management?

Gurobi's performance improved significantly, with annual recurring revenue and employee numbers both increasing by more than 8 times since its acquisition.

Who are the key leaders involved in this partnership?

Key leaders include Bob Dunn, Managing Partner at TSCP, and Duke Perrucci, CEO of Gurobi, among others.

What industries benefit from Gurobi’s software?

Gurobi’s software serves a wide range of industries, facilitating prescriptive analytics that helps organizations make better data-driven decisions.

What is TSCP's investment strategy?

TSCP focuses on investing in founder-led businesses within the middle market, enhancing growth through innovative solutions and strategic acquisitions.

About Investors Hangout

Investors Hangout is a leading online stock forum for financial discussion and learning, offering a wide range of free tools and resources. It draws in traders of all levels, who exchange market knowledge, investigate trading tactics, and keep an eye on industry developments in real time. Featuring financial articles, stock message boards, quotes, charts, company profiles, and live news updates. Through cooperative learning and a wealth of informational resources, it helps users from novices creating their first portfolios to experts honing their techniques. Join Investors Hangout today: https://investorshangout.com/

Disclaimer: The content of this article is solely for general informational purposes only; it does not represent legal, financial, or investment advice. Investors Hangout does not offer financial advice; the author is not a licensed financial advisor. Consult a qualified advisor before making any financial or investment decisions based on this article. The author's interpretation of publicly available data shapes the opinions presented here; as a result, they should not be taken as advice to purchase, sell, or hold any securities mentioned or any other investments. The author does not guarantee the accuracy, completeness, or timeliness of any material, providing it "as is." Information and market conditions may change; past performance is not indicative of future outcomes. If any of the material offered here is inaccurate, please contact us for corrections.