Jackson Hewitt Tax Service® Announces Strategic Partnership with Corsair Capital
Corsair Capital Acquires Stake in Jackson Hewitt from H.I.G. Bayside Capital
JERSEY CITY, N.J. - May 31, 2018 // PRNewswire // - Jackson Hewitt Tax Service Inc. ("Jackson Hewitt"), the second-largest assisted tax-preparation service in the United States, is pleased to announce that it has been acquired by funds managed by Corsair Capital LLC in partnership with the Jackson Hewitt senior management team. Founded in 1992 with offices in New York and London, Corsair Capital is one of the longest-standing private equity firms focused on the financial services industry. Corsair Capital acquired its controlling stake in Jackson Hewitt from an affiliate of H.I.G. Bayside Capital.
Under Corsair Capital's ownership, Jackson Hewitt and its franchisees will have access to the firm's financial services expertise, broad industry relationships, and decades of experience working with best-in-class management teams to create sustainable long-term growth. Jackson Hewitt was owned by H.I.G. Bayside Capital since 2011, and has been growing strategically over the last several years.
"After several years of strong momentum fueled by delivering a great client experience and innovative products and services that meet the specific needs of our hard working clients, we are excited to be entering our Company's next chapter with Corsair Capital," said Alan D. Ferber, CEO of Jackson Hewitt. "Our relationship with Corsair Capital will allow us to further differentiate Jackson Hewitt with industry-leading offerings while we continue to execute our aggressive growth strategy and expand our national footprint. Corsair Capital's support highlights its confidence in Jackson Hewitt's growth potential, and will allow us to enhance our business for the benefit of our employees, our franchisees and their employees, and our approximately two million customers across the country."
"We have been impressed by what Alan, his management team, and the Jackson Hewitt franchisees and tax professionals have accomplished over the past several years," said Jeremy Schein, Managing Director at Corsair Capital. "Jackson Hewitt is one of the country's largest and most trusted financial services brands, and its track record is the result of its focus on strong partnerships, and a passion for advocating on behalf of its hard working clients to make sure they get their full tax refunds and providing them access to innovative and well-priced financial products. We look forward to working with the Jackson Hewitt team to build on the Company's strong momentum."
"The strong momentum we have built over the last few years and our optimistic outlook for the future would not have been possible without the dedication of our franchisees and the tax professionals and other employees at Jackson Hewitt and across our franchise system who work tirelessly to serve our clients," Ferber added. "We're excited to have Corsair Capital's support as we continue working hard for the hardest working Americans."
As part of the transaction, Corsair Capital representatives will join Jackson Hewitt's Board of Directors. Jackson Hewitt's existing management team will continue managing the day-to-day responsibilities of the Company. The financial terms of the transaction were not disclosed.
Piper Jaffray & Co. and Jefferies LLC acted as strategic and financial advisors to H.I.G. Bayside Capital and Skadden, Arps, Slate, Meagher & Flom LLP acted as legal counsel to H.I.G. Bayside Capital in connection with the transaction. Keefe, Bruyette & Woods acted as exclusive strategic and financial advisor to Corsair Capital and Simpson Thacher & Bartlett LLP acted as legal advisor to Corsair Capital in connection with the transaction.
About Jackson Hewitt Tax Service Inc.
Jackson Hewitt Tax Service Inc. is an innovator in the tax industry, with a mission to provide its hard-working clients access to simple, low-cost solutions to manage their taxes and tax refunds. Jackson Hewitt is devoted to helping clients get ahead with Maximum Refund and 100% Accuracy Guarantees. With close to 6,000 franchised and company-owned locations, including 3,000 in Walmart stores, and online and mobile tax solutions, Jackson Hewitt makes it convenient for clients to file their taxes. For more information about products, services, and offers, or to locate a Jackson Hewitt office, visit www.JacksonHewitt.com or call 1 (800) 234-1040.
About Corsair Capital
Corsair Capital LLC, which includes a highly regarded private equity platform, is a leading investor in the financial services industry. Corsair Capital has invested in substantially all of the subsectors of the financial services industry including wealth & asset management, payments & financial technology, services, insurance and banking & specialty finance. Since inception, Corsair has led or co-led $8 billion of private equity investments.
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SOURCE Jackson Hewitt Tax Service Inc.