Capstone Partners advised On Point Technology, LLC on its acquisition by Government Brands, a portfolio company of PSG and TPG.
Founded by former state and federal agency staff and executives, On Point Technology provides integrated solutions that detect and combat Unemployment Insurance (UI) fraud while streamlining benefits agencies’ workflows. With the largest footprint in the UI industry, more than half of U.S. states rely on On Point’s solutions. They are also the only vendor called upon to give expert testimony before Congress on the challenges facing the UI benefits system. Following the surge in Unemployment claims during the COVID-19 pandemic and the challenges that volume brought to already-burdened agencies, demand for UI fraud prevention services spiked, and the acquisition by Government Brands will help facilitate On Point’s continued growth.
Michael Lorsbach, CEO, On Point, said
“This was my second deal with Capstone. Noting that they were chosen a second time, after thoroughly interviewing the competition, says it all. The professionalism and knowledge of the process detail were impressive. I felt comfortable and had complete trust in them. They found opportunities for a better outcome of which I was unaware. They certainly have my highest recommendation.”
David Brinkley, Managing Director at Capstone, noted
“On Point’s software automates long-lead activities while incorporating state workforce agency business rules; the result is a powerful solution set that holds the promise of recouping billions in improper payments made through the UI program over the past two years alone. We are excited to see broad adoption of this technology through Government Brands and the resulting benefits for taxpayers.”
Ted Polk, Capstone’s Managing Director, added
“Having had the opportunity to represent On Point twice, we are thrilled that their integrity solutions are going to be championed by a party as strong as Government Brands.”