Treya Partners gets investment to grow outsourced procurement services
NEW YORK, UNITED STATES — A platform investment in Treya Partners has been completed by VSS Capital Partners, a private investment firm operating out of New York.
Treya Partners is a management consulting firm in San Francisco that focuses on procurement value creation, strategic sourcing, and spend management advisory services for private equity-backed clients.
The deal indicates that private equity firms are increasingly interested in operational improvement to generate value in the current market conditions.
According to Trent Hickman, Managing Director at VSS, the company identifies many opportunities for Treya to grow organically and through acquisitions.
“Private equity firms sharpen their focus on driving value creation through operational improvements in a challenging market environment,” Hickman said.
“Historically, lower middle market businesses have had less access to highly sophisticated, outsourced procurement options than their upstream competitors, but Treya effectively evens the playing field, allowing smaller companies access to material savings.”
Financials and outsourcing expertise of Treya Partners
Treya Partners has existed since 2006 and maintains a staff size of under 25 and annual revenue below $5 million.
The company provides procurement consulting services that include spend analysis, strategic sourcing, procurement transformation, and group purchasing contracts to clients within the healthcare, retail, manufacturing, and business services sectors.
The firm has succeeded in delivering substantial cost savings and EBITDA improvements to its clients through its data-driven, sector-specific approach.
Strategic growth plans and industry implications
The management team of Treya, including co-founder and partner Rahul Ahuja, will maintain the company’s leadership, together with VSS. The team at VSS brings great enthusiasm for supporting Treya’s development through the next phase.
“We’re thrilled to have the support of the VSS team to embrace the next stage of Treya’s development,” said Rahul Ahuja, Co-Founder and Partner of Treya Partners.
“VSS’s decades-long commitment to value creation in the lower middle market makes this a highly rewarding partnership. We look forward to drawing on their strategic expertise as we pursue meaningful growth opportunities over the near and mid-term.”
The partnership will increase the breadth of Treya’s offerings through M&A acquisitions while applying VSS’s buy-and-build method to serve private equity portfolio companies that seek outsourced procurement solutions.
The transaction amount remains undisclosed to the public. Equiteq advised Treya as its financial advisor, while Treya and VSS received legal counsel from Fox Rothschild and Willkie Farr & Gallagher, respectively.
