Primatics Financial Receives Significant Capital Investment from The Carlyle Group

McLean, VA – Primatics Financial, a provider of loan accounting and risk management software and outsourcing solutions to the financial services industry, announced today that global alternative asset manager The Carlyle Group has invested significant growth capital in the company. The capital will be used to expand the breadth and reach of Primatics’ product offerings and to invest in client services, capitalizing on increased demand for loan accounting and valuation services due to bank consolidation and changes in accounting regulatory requirements. The entire executive management team has invested alongside Carlyle and will remain in place. Financial terms of the transaction, which closed on December 21, were not disclosed.

Primatics’ Chairman & Chief Executive Officer, Peter Fitzsimmons said, “We partner closely with our clients in solving their current and potential future challenges relating to complex loan accounting and risk management. This partnership with Carlyle will further solidify our ability to invest in providing solutions that enable our clients to keep up with the ever-changing regulatory landscape and to add immediate value towards understanding their accounting and risk results. Carlyle has a strong track record of partnering with market leading and fast growing software companies. We are confident that their insights, relationships and industry expertise will provide us with new resources as we continue to solve complex problems for our valued customers and as we look to expand the breadth and reach of our product offerings.”

Through its Evolv® suite of enterprise loan accounting solutions, Primatics has emerged as one of the only software providers that deploys enterprise grade technology to address complex loan accounting required under U.S. GAAP, including the challenging M&A accounting rules faced by financial institutions that are growing through acquisition. The company’s core technology platform provides a holistic solution that combines accounting (GAAP and IFRS), loan valuation and risk measurement into a comprehensive CFO business intelligence solution compliant with current and projected regulatory rules. Primatics’ solutions, which are deployed across a diverse landscape of small, regional and national banking institutions, currently process nearly $200 billion in commercial and consumer loans.

Carlyle Senior Advisor Charles Rossotti, who joins the Primatics Board of Directors, said, “Carlyle is excited to partner with Primatics’ seasoned management team and talented employees. Primatics has clearly distinguished itself as an innovative solutions provider allowing financial institutions to reduce financial, operational and regulatory risk in the critical, complex and ever-changing field of loan accounting. Carlyle believes that Primatics’ software and managed services solutions approach toward this under-invested sector of the market is superior to a billable-hour and spreadsheet approach in terms of providing an enterprise-class, holistic and scalable long-term solution for clients. Carlyle’s capital infusion and growth technology track record will allow Primatics to accelerate and expand both its product offerings and client service capabilities.”

Primatics was advised by Houlihan Lokey and Holland & Knight LLP. The Carlyle Group was advised by Latham & Watkins LLP and Ernst & Young LLP.

Equity capital for this transaction came from Carlyle Growth Partners III, L.P., Carlyle’s North American growth equity fund, which invests in middle market businesses that demonstrate both strong growth and profitability.

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About Primatics Financial
Primatics Financial was founded in 2004 and provides accounting compliance, analytics, valuation, and risk management software and outsourcing solutions to small, medium and large size financial institutions. Primatics is widely recognized for its ability to combine innovation with extensive domain expertise – bridging the gap between data, analytics, accounting, and technology to deliver progressive, promising end-to-end solutions. For more information about Primatics, visit www.primaticsfinancial.com.

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