CNL Strategic Capital LLC, a publicly registered non-traded limited liability company, has purchased an approximately 81 percent interest in Auriemma U.S. Roundtables, a subscription-based information services and data analytics company for the consumer finance industry.
The company paid approximately $44.5 million, consisting of a $32.4 million investment in the common equity of Roundtables and an approximately $12.1 million debt investment. The remaining equity is owned by Michael Auriemma. This is the third acquisition in CNL Strategic Capital’s portfolio.
Prior to this transaction, Roundtables operated as a division of Auriemma Consulting Group, and currently offers membership in more than 30 topic-specific groups in five verticals that include credit cards, auto finance, retail banking, wealth management and fintech.
These groups include participation in hosted executive meetings, benchmarking studies and custom surveys. The company claims that the subscription-based model provides executives with “key operational data to optimize business practices and address current issues within the consumer finance industry.”
CNL Strategic Capital seeks to acquire controlling equity stakes in combination with loan positions in what it deems as durable and growing middle-market businesses. As of the first quarter of 2019, the company’s investment portfolio had a fair value of $82.8 million.
The company launched its first private offering in February 2018 and issued approximately 3.3 million Class FA shares for total proceeds of approximately $81.7 million. The company’s public offering was declared effective in March 2018 and had raised approximately $26.9 million as of the first quarter of 2019. In April 2019, the company launched another private offering of up to $50 million of Class FA shares.
CNL Strategic Capital is externally managed by CNL Strategic Capital Management LLC and Levine Leichtman Strategic Capital LLC, an affililiate of Levine Leichtman Capital Partners, a private investment firm that has managed approximately $10.5 billion of institutional capital since its inception.
CNL Financial Group is a private investment management firm providing real estate and alternative investments. Since inception in 1973, CNL and/or its affiliates have formed or acquired companies with more than $34 billion in assets.