Farragut Announces Successful Exit of Investment in MBH Settlement Group
WASHINGTON, D.C. – Farragut Capital Partners, Inc. (“Farragut”) is pleased to announce the successful exit of its investment in MBH Settlement Group, L.C. (“MBH” or the “Company”). Farragut acquired MBH in 2014 and supported the Company with subordinated debt and equity capital throughout its ownership period. MBH was acquired by Tempo Title, LLC, a growing national provider of residential and commercial real estate title and settlement services.
MBH is a leading provider of residential real estate title and settlement services in the Washington, D.C. metro area with 19 office locations in Virginia, Maryland, and D.C. From its founding over 25 years ago, MBH has successfully grown to become one of the largest settlement companies in the Washington, D.C. market. MBH serves thousands of homebuyers and sellers each year by providing transaction closings that are smooth, secure and convenient.
During its ownership period, Farragut worked in close collaboration with MBH’s management team to implement a strategic plan aimed at expanding the Company’s geographic reach, enhancing its technology platform, and improving its operational systems and processes. The successful achievement of this plan resulted in MBH’s expansion into new markets in Maryland and the District of Columbia as well as over 60% growth in the Company’s sales and double-digit average annual growth in EBITDA during Farragut’s investment period. In addition, a strong commitment to promoting a supportive employee culture based on teamwork has positioned MBH to attract and retain talented staff for many years to come.
Phil McNeill of Farragut said of the investment, “We’re extremely proud of what we were able to accomplish at MBH. Together with a talented management team, we shared a vision to build the premier title and settlement business in the Washington, D.C. market and we were successful in driving significant value creation for the investors and management.”
Alan Cuthbertson of Farragut added, “Farragut is delighted to have played a part in supporting such a thriving local business. It’s been a pleasure working closely with the MBH management team to facilitate the growth and development of the Company over the past seven years and we wish the entire MBH organization continued success as part of the Tempo Title family.”
Fred Westerlund, Chief Executive Officer of MBH commented, “I am very proud of the culture we have established at MBH, the growth we have achieved, and the service we provide our clients. Farragut has been great to work with and we feel fortunate to have had a financial partner that felt much more like a true business partner. Thanks to the contributions of my incredible colleagues at MBH, the organization has been able to reach new heights and we are excited to be joining the Tempo family positioned for even greater success.”