(LONDON) Katten Muchin Rosenman UK LLP announced today that it has advised Five Arrows Principal Investments (Five Arrows) in the financing of its acquisition of the Texthelp Group (Texthelp) through a £multimillion term and revolving credit facility as underwriter by Goldman Sachs Private Capital.
Five Arrows, the private equity arm of Rothschild & Co., invested in Texthelp through both its European fund (Five Arrows Principal Investments) and its US fund (Five Arrows Capital Partners). Five Arrows targets investments in category-leading B2B data and software companies across health care, education and other vertical end-markets.
Founded in 1996, Texthelp is a global pioneer and leader in cloud-based assistive technology and learning analytics for the education and corporate sectors. The company has supported 30 million students and employees worldwide with reading, writing and numeracy as well as productivity challenges, including those with dyslexia or working in a second language. Current customers include some of the largest school districts in North America and Australia, schools and businesses across the United Kingdom and the Middle East as well as government and Fortune 500 organisations.
The Katten team was led by London partner Peter Englund and included senior associate Paul Hynes and associate Victoria Sinton. Axis Arbor Partners acted as debt advisor to Five Arrows Principal Investments.
Commenting on the transaction, Englund said:
"At a time when cloud-based educational resources are such an important part of our day to day lives, we are excited to play a key role in the Five Arrows and Texthelp partnership. Texthelp has helped to support the 1.5 billion children excluded from schools due to the COVID-19 pandemic. The company's workplace products have also aided employees transitioning to remote working by supporting businesses looking to provide greater digital accessibility.
"This financing will enable Texthelp in the next stage of its growth and expansion."
Katten Muchin Rosenman UK LLP is the London affiliate of Katten Muchin Rosenman LLP, a full-service law firm with nearly 700 attorneys in locations across the United States and in Asia. The London team has a wide range of experience covering real estate, mergers and acquisitions, general corporate and commercial, joint ventures, financial services and regulatory, employment, tax, construction, finance, litigation and asset management.
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