DAK Capital, a unit of DAK, has successfully led the strategic acquisition of the Systems Business unit of EarthLink, Inc. (NASDAQ: ELNK) based in Atlanta, GA, on behalf of Forerunner Technologies, Inc. headquartered in Bohemia, NY.
The transaction marks the second acquisition led by DAK Capital and Managing Director, Lisa Stern, for Forerunner which acquired Teltronics, Inc., of Tampa, FL, by prevailing in a bankruptcy auction proceeding in February 2012.
Growth Acquisition for Forerunner
Foreunner is a metro New York-area provider of telephone, VoIP and connectivity equipment, sales, and service to business and institutional customers. The acquisition of the Systems Business unit of Earthlink adds coverage in more than 10 states — primarily in the southeastern U.S. — to Forerunner’s growing national footprint. In addition, the transaction structure allows for future cross-selling partner opportunities.
“Forerunner continues to successfully execute its corporate growth strategy through strategic acquisitions,” according to Ms. Stern. “It is expanding through highly complementary additions of geography, technology and services.”
Noted Jim Wallace, CEO of Forerunner, “As we continue on a path of corporate growth, we consider DAK Capital to be a trusted partner in the execution of our strategic vision.”
“They didn’t just help us purchase assets; they also structured a creative agreement that met both parties’ current needs and will engender mutual continued success in the future, ” he added.
DAK Capital LLC is a registered broker dealer and member of FINRA.