One of the largest IDSOs in the country announced their recapitalization last quarter. It has yet to close due to the U.S. regulatory review of their new investor; to our knowledge the first entry of a Sovereign Wealth Fund into the U.S. IDSO consolidation frenzy.

While this transaction has not closed yet due to regulatory review, it is an interesting story. A very large PE firm backed this then 23-year-old IDSO granddaddy in 2015. Their initial target was an exit in 2020. The IDSO hired an Investment Banker in 2019 and were in the recap “process” in early 2020. You may recall a little bump in the road called COVID 19 which put the brakes on their exit.

Chip Fitchner