ASG Technologies Group, Inc., commonly referred to as ASG, is an IT software and services company headquartered in Naples, Florida. ASG provides a wide range of solutions focused on information management, enterprise content management, business intelligence, and IT systems management. The company has a long history dating back to 1986 and has gone through several ownership changes over the decades. Today, ASG operates as a portfolio company under the private equity firm ESW Capital.
History of ASG
ASG was founded in 1986 in Illinois under the original name Allen Systems Group. The company was started by Sandy Weis and David Allen who aimed to provide IT software and services focused on managing mainframe data and applications. During the 1980s and 1990s, ASG grew primarily through acquisition as it purchased over 30 different software companies that specialized in diverse IT solutions including database management, systems management, security software, and more.
Some of ASG’s major acquisitions over the years have included companies such as TelTech Resource Network Corporation in 1998 which expanded ASG’s IT systems management capabilities. In the early 2000s, ASG acquired Mobius Management Systems which gave the company greater expertise in enterprise content management. In 2010, ASG acquired the assets of Nihon Computer Industries which strengthened the company’s presence and capabilities in the Japanese market.
Over its first couple decades, ASG operated as an independent software company. But in 2010, the private equity firm H.I.G. Capital acquired a controlling stake in ASG to take the company private. Under H.I.G. ownership from 2010 to 2014, ASG continued making strategic acquisitions and expanding its solutions portfolio.
Swenk Associates Acquires ASG in 2014
In September 2014, the investment firm Swenk Associates purchased ASG Technologies from H.I.G. Capital for a reported $350 million. This represented a major change in ownership for the software vendor that had operated independently or under private equity control for nearly 30 years.
Swenk Associates was a relatively unknown firm at the time, but they appointed current ASG CEO Charles Sansbury along with other experienced software executives to lead the company post-acquisition. Under Swenk ownership and new leadership, ASG continued its strategy of growth through acquisition. Some of ASG’s key purchases have included:
– In 2015, ASG acquiredEDS Holdings to expand capabilities in cloud orchestration and automation.
– In 2018, ASG acquired DP Solutions, adding to its enterprise information management expertise.
– In 2019, ASG bought Concept Searching which enhanced the company’s abilities in metadata management and data governance.
The Swenk acquisition took ASG private for several years. Then in 2018, Swenk sold a majority stake in ASG to another private equity firm, Alpine Investors. Alpine helped provide additional capital for more strategic acquisitions. They also invested in expanding ASG’s software engineering teams and product development.
ESW Capital Becomes ASG’s Parent Company
In December 2021, ASG Technologies was acquired yet again, this time by the San Francisco-based private equity firm ESW Capital. ESW paid an estimated $1.1 billion to purchase ASG from Alpine Investors. This acquisition represented one of ESW Capital’s largest purchases to date.
ESW Capital was founded in 2019 by Joseph Liemandt, the billionaire technology entrepreneur who also founded Trilogy Software. ESW manages over $2 billion in assets and aims to invest in established enterprise software companies.
Under ESW’s ownership, ASG has continued operating under its experienced executive leadership team including CEO Charles Sansbury. The company remains focused on expanding its information management, content services, and other enterprise software solutions.
As the parent company, ESW provides strategic guidance and capital support to empower ASG’s growth. But ESW allows ASG to operate with considerable autonomy when it comes to product development, marketing, mergers and acquisitions, and overall business strategy.
About ESW Capital
Here are some key facts about ESW Capital, the current owner and parent company of ASG Technologies:
- Headquarters: San Francisco, California
- Founded: 2019
- Founder and Chairman: Joseph Liemandt
- Managing Partner: Blair Filler
- Total Assets Under Management: Over $2 billion
- Portfolio Companies: ASG Technologies, ECS IRON, Crossover Technologies, Aurea Software
- Key Industries: Enterprise Software, Cybersecurity, Cloud Infrastructure
In addition to ASG Technologies, some of ESW’s other major portfolio companies include:
- Aurea Software – Provides customer experience and enterprise software including CRM, marketing automation, and API management.
- ECS IRON – Leading provider of cybersecurity readiness solutions for K-12 education.
- Crossover Technologies – Managed IT services and cloud hosting provider based in Canada.
ESW aims to invest in profitable, established enterprise software firms that provide mission-critical solutions to business customers. The private equity firm then looks to scale the companies rapidly through a combination of organic growth and strategic acquisitions. This investment strategy closely matches what ASG has pursued under ESW’s ownership.
Financial Performance Under ESW Capital
Since being acquired by ESW Capital in late 2021, ASG Technologies has delivered strong financial results:
- In 2021, ASG generated over $400 million in total revenues.
- Revenues have increased over 15% from 2020 to 2021.
- The company has maintained consistently high recurring revenues of around 80% of total sales.
- ASG has an annual retention rate greater than 90% for existing clients.
- In 2021, ASG completed 5 strategic acquisitions to complement organic product development and sales growth.
These metrics indicate that ASG has continued its positive business momentum under the ownership of ESW Capital. The additional capital and resources provided by ESW have empowered ASG to boost investments in new capabilities while also expanding geographically, especially in Europe.
With ESW’s financial backing and industry expertise, ASG is well-positioned to continue its enterprise software growth both organically and via acquisition. The company can leverage its strong recurring revenues, high customer retention rates, and its portfolio of mission-critical solutions.
ASG Company Overview
Here is an overview of ASG Technologies as it currently operates under ESW Capital’s ownership:
- Headquarters: Naples, Florida
- CEO: Charles Sansbury
- Employees: Over 1,000 worldwide
- Global Offices: United States, Canada, Europe, Latin America, Australia, Japan, Singapore
- Solutions Portfolio: Enterprise Information Management, Enterprise Content Management, IT Systems Management, Application Development Management, Business Intelligence
- Major Product Brands: Mobius, ECM Suite, MetaServ, ASG-TMON, Data Intelligence
- Key Industries Served: Financial Services, Insurance, Healthcare, Life Sciences, Government, Technology, Manufacturing
- Number of Customers: Over 3,500 organizations globally
- Company Website: ASG Technologies Website
Under ESW Capital’s ownership, ASG has maintained its position as a leading global provider of Information Management and Content Services software. The company continues helping organizations worldwide improve their IT efficiency, manage enterprise content, and gain insights from their data.
Conclusion
ASG Technologies has evolved considerably over its 36-year history. The company began as a startup focused on mainframe solutions and grew to become a major enterprise software vendor through decades of acquisitions. After operating independently then moving between several private equity firms, ASG is currently owned by ESW Capital which acquired the company for $1.1 billion in 2021.
ESW Capital, led by billionaire founder Joseph Liemandt, provides the strategic guidance, capital resources, and industry expertise to empower ASG’s continued growth. Under ESW’s ownership, ASG Technologies has maintained strong financial performance and accelerated investments in new capabilities, acquisitions, and geographical expansion. The future looks bright for ASG as an ESW Capital portfolio company focused on meeting organizations’ needs for information management, content services, and data analytics.