Atlanta, GA, August 6, 2014 – CHILDS Advisory Partners (“CHILDS”) served as the exclusive financial advisor to Spencer Reed Group, LLC (“Spencer Reed” or the “Company”) in the sale of its commercial staffing division, Encore Staffing Services (“Encore”), to Elwood Staffing Services, Inc. (“Elwood”).
The acquisition includes 12 Encore branch offices in metropolitan locations across the Midwest, West Coast and Northeast. The transaction expands Elwood's service footprint into Missouri and Kansas and also broadens Elwood’s presence in California, Colorado, Texas, Arizona and Pennsylvania. Elwood plans to rebrand all Encore offices to Elwood Staffing within 90 days.
"Encore's light industrial specialization is Elwood's bread and butter, so this is a natural fit that strengthens our presence in new and existing markets,” said Elwood CEO Mark S. Elwood. “We've got our eyes set on growth, and this move increases our ability to meet client demands in a fast-growing, competitive industry."
With the addition of Encore to Elwood's portfolio, it continues to lead the industry with over 250 service locations throughout 31 states and Canada, boasts annual revenues of approximately $900 million and employs approximately 1,000 internal employees.
Spencer Reed retains three offices following the disposition and will focus on executive search and professional staffing. “We engaged CHILDS Advisory Partners based on their exceptional M&A track record in the commercial and light industrial staffing sectors. CHILDS’ industry knowledge, attentive client service and commitment to our transaction objectives provided a successful outcome for us,” said Bill Solon, CEO of Spencer Reed.
Alan Bugler, Director at CHILDS Advisory Partners, said “Through our core staffing sector focus, we were able to quickly identify Elwood as the best fit for the Encore Staffing division. The two companies’ strong reputation, complementary skill sets and historical growth has the combined entity poised for success.”
This marks the second acquisition for Elwood in the past 18 months. In February 2013, Elwood acquired SOS Employment Group, a transaction that doubled its staff count and service footprint (CHILDS also served as exclusive advisor to SOS Employment Group).
The acquisition of Encore was effective July 20, 2014. Terms of the transaction were not disclosed.
About Spencer Reed
Spencer Reed Group, LLC operates as a search and recruiting firm in the United States. The company offers direct hiring services, such as arranging interviews, sharing feedback, checking references, negotiating salaries, and facilitating the placement process. It offers its direct hiring services for accounting/finance, legal, engineering, manufacturing, information technology, business services, insurance, and medical practices. The company also provides contract hiring services, including sourcing and recruiting candidates, and managing various administrative activities for various specialty practices, such as aerospace engineering, environmental planning, engineering, and manufacturing. Spencer Reed was founded in 1990 and is headquartered in Overland Park, Kansas with additional offices in the United States. More information: www.spencerreed.com
About Elwood Staffing
Elwood Staffing Services, Inc. provides commercial staffing services for light-industrial and clerical facilities. It offers temporary staffing, senior staffing, strategic staffing/flexible staffing/seasonal staffing, traditional temporary/short-term staffing, direct placement, pay rolling, and pre-employment assessment and background screening services. The company was formerly known as Elwood Consulting Company, Inc. and changed its name to Elwood Staffing Services, Inc. in 1997. Elwood Staffing Services, Inc. was founded in 1980 and is based in Columbus, Indiana. The company has locations in Alabama, Georgia, Indiana, Kentucky, Michigan, Mississippi, Nevada, Ohio, Tennessee, Texas, and Virginia. More information: www.elwoodstaffing.com
About CHILDS Advisory Partners
CHILDS Advisory Partners provides exceptional investment banking services to high‐performing business services and technology companies. Our unique combination of global sector focus, process excellence and strength of team allow us to achieve successful outcomes for our clients. Collectively, our senior bankers have executed over 450 M&A and financing transactions. CHILDS is a member of FINRA and SIPC and is a registered broker‐dealer.
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