Arlington Capital Partners Announces the Acquisition of Zemax

WASHINGTON--()--Arlington Capital Partners (“Arlington Capital”), a Washington, DC-based private equity firm, today announced the acquisition of the Zemax division (“Zemax” or the “Company”) of Radiant Zemax. Headquartered in Redmond, Washington, Zemax is the preeminent provider of optical and illumination design software to design engineers across a wide variety of end markets, including aerospace, defense, medical/life sciences, instrumentation, optics and lighting.

Zemax becomes the sixth company with licensable software in Arlington Capital's current portfolio, joining Advanced Health, Compusearch, Iron Data, Novetta, and Quantum Spatial.

Zemax’s OpticStudio software platform allows users to rapidly design, tolerance and simulate sophisticated optical or illumination systems and is widely considered to be the ubiquitous software platform in the optical and illumination design community. The Company’s installed base spans across 80 different countries and includes over 7,500 different companies, including global industry leaders in aerospace, defense, medical/life sciences, technology, and leading research and development units within the government.

Michael Lustbader, a Partner at Arlington Capital, commented, “Zemax’s technically superior software algorithms have long represented the best value proposition in the rapidly growing optical and illumination design software market, and the Company is ideally positioned to benefit from the strong macro growth trends in its underlying market sectors. In addition, we believe the Company has significant potential to expand its traditional user base beyond expert users, and we are excited to partner with the Zemax team to execute an aggressive growth plan as a standalone company.”

Mark Nicholson, CEO of Zemax, stated, “We have an exciting, ambitious roadmap for the Zemax software suite, and we are eager to begin our next chapter of growth with Arlington as our partner. Arlington’s relationships and software domain expertise have already proven to be a strong asset to our team, and we are looking forward to working closely with Arlington to rapidly scale the business.”

Jesse Liu, a Principal at Arlington Capital, said, “The Zemax acquisition creates a software platform with global sales capabilities that is well positioned for substantial growth. We have consistently been impressed with the Company’s execution capabilities and look forward to building the Zemax platform through the execution of both organic initiatives and highly targeted acquisitions.”

The senior debt financing for the acquisition was provided by Ares Capital, and the subordinated debt financing was provided by Stellus Capital Management and Metropolitan Life Insurance Company.

About Arlington Capital Partners

Arlington Capital Partners is a Washington, D.C.-based private equity firm with over $1.5 billion of capital under management focused on middle market investment opportunities in growth industries including: aerospace/defense, government services, healthcare services, and outsourced business services and software. The firm’s professionals and network have a unique combination of operating and private equity experience that enables Arlington to be a value-added investor. Arlington invests in companies in partnership with high quality management teams that are motivated to establish and/or advance their company’s position as leading competitors in their field. www.arlingtoncap.com

About Zemax

Zemax, LLC, based in Redmond, WA, USA, delivers optical and illumination design software, training and support services that set the standards for the optical and illumination design industry. Zemax is unmatched as the preferred design platform for optical and illumination researchers, engineers, designers and students around the world. www.zemax.com

Contacts

Arlington Capital Partners
Michael Lustbader or Jesse Liu
5425 Wisconsin Avenue, Suite 200
Chevy Chase, MD 20815
202-337-7500
202-337-7525 (fax)

Contacts

Arlington Capital Partners
Michael Lustbader or Jesse Liu
5425 Wisconsin Avenue, Suite 200
Chevy Chase, MD 20815
202-337-7500
202-337-7525 (fax)