Thursday, June 21, 2018

Platinum Equity Sells Verra Mobility To Gores For $2.4 Billion

Los Angeles-based private equity investor Platinum Equity says it is selling one of its portfolio companies, Verra Mobility, to The Gores Group, in a deal worth approximately $2.4 billion. According to Platinum, the sale will create a new, publicly listed company, via a plan of merger with Gores Holdings II, Inc., a special purpose acquisition company created by The Gores Group. The deal values Verra Mobility at 11.0x the company's 2018 pro forma Adjusted EBITDA of approximately $219 million. Newly renamed Verra Mobility was most recently known as American Traffic Solutions, and is based in Mesa, Arizona. Verra Mobility develops red light camera systems, speed enforcement, railroad crossing, and other systems used for traffic management.

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