June 12, 2012
Transaction marks LLR’s second investment in the Baltimore-Washington D.C. corridor
LLR Partners made a growth capital investment in Message Systems, which provides digital messaging technology to support the customer engagement strategies of companies that interact through email, text and other channels. The investment will help Message Systems further develop its software, strengthen its leadership position and expand into new vertical markets.
Message Systems develops software that enables companies of all kinds to engage with customers on their terms – how, when and where they want – and dynamically respond as individual customer needs change. With its suite of powerful, flexible solutions, Message Systems has built a large and diverse client base, including the world’s leading social networks, financial services providers and payment processors, daily deal sites, telcos and Internet brands. With hundreds of enterprises now relying on the company’s software, Message Systems technology has become a key element in the global digital infrastructure, touching many millions of consumers every day.
“Social media, mobile technologies and emerging digital messaging channels have completely changed the way consumers communicate with each other, and with businesses, on a daily basis. Message Systems enables enterprises to engage customers through emerging digital channels, and achieve new levels of personalization and targeted interaction,” said Greg Case, partner leading the Software & IT Services investment team at LLR. “It is another example of the Baltimore-D.C. market nurturing strong, under-the-radar, middle market companies that are leading the way in how enterprises leverage new technology.”
“By partnering with LLR, Message Systems will be able to accelerate growth and differentiate ourselves with an expanding suite of solutions,” says George Schlossnagle, founder and CEO of Message Systems. “Our unique technologies help companies with complex challenges in sending and receiving digital messages better leverage data to manage real-time messaging policy. They are proven to drive higher engagement rates, support new monetization strategies and optimize deliverability. The gains our clients in social media and daily deals have realized from mobile and cross-channel messaging are proving just as relevant to enterprises in financial services, retail, consumer technology, travel and more. We look forward to working with LLR.”
Mr. Case and Paul Winn, operating partner at LLR Partners, will join the board of directors at Message Systems. The transaction provides liquidity to NewSpring Capital, which invested in Message Systems in 2010, as well as other shareholders.