CHARLOTTE, NORTH CAROLINA and CHICAGO (March 22, 2022) – Charlotte-based private equity firm Falfurrias Capital Partners today announced it has made an investment in CIH, a Chicago-based, technology-enabled firm providing education and customized price risk management services to businesses affected by volatility in the agricultural commodity markets. Terms of the deal were not disclosed.
In conjunction with the partnership, CIH anticipates expansion of its technology platform to provide a greater array of data-driven services to its clients, which include producers and buyers in the hog, beef, dairy, poultry and feed, ethanol, crop and grain markets. Co-founder and CEO Perry Iverson, President Patrick Gregory, and VP of Client Services David Ward will remain in their roles, along with the entirety of the existing management team.
Founded in 1999, CIH helps clients hedge their commodity price risk exposure through a comprehensive suite of risk management solutions including exchange traded and non-exchange traded hedging instruments as well as USDA-backed agriculture insurance solutions. With its state-of-the-art technology platform and risk management consulting and education services, the company allows clients to more confidently implement long-term margin management strategies.
As part of the investment, Falfurrias will leverage the risk management industry expertise of Mark Linsz, former Corporate Treasurer and Capital Markets Risk Management Executive at Bank of America. Falfurrias partners Marc Oken, Joe Price, and Wilson Sullivan will also join the Board alongside CIH management. Collectively, these professionals bring decades of experience in risk management and delivering technology-enabled financial services.
“CIH is a leader in delivering data-driven risk management solutions to producers and buyers of commodities, and today’s market volatility highlights the vital role that CIH plays in supporting a cornerstone of the American economy – the agriculture and food sector,” said Wilson Sullivan, partner at Falfurrias. “In joining with CIH we hope to apply a unique combination of deep Falfurrias industry expertise across financial services, food, and training and education.”
CIH’s Iverson says the partnership will help the company pursue a range of growth opportunities while staying focused on the vital work of supporting producers across the U.S. and around the globe.
“Joining forces with Falfurrias will give us significant resources to embark upon our next phase of growth at CIH,” said Iverson. “We will continue to serve as loyal partners to our clients navigating market volatility, and this investment from Falfurrias will enhance our ability to serve an even wider array of producers and buyers looking to access risk management tools.”
K&L Gates served as legal advisors to Falfurrias Capital Partners on the transaction.
Founded in 1999, Chicago-based CIH provides clients with the critical information, tools and skills needed to make better marketing decisions. Through a unique combination of education, regular consultation and technology tools, we provide comprehensive risk management services to producers, importers/exporters, elevators, traders and end users in various agriculture industries, including hog, beef, dairy, poultry/feed, ethanol and crop. Serving hundreds of clients throughout the United States, Latin America, Europe and Southeast Asia, CIH is widely recognized as a leader in margin and risk management in the agricultural commodity markets. Visit www.cihedging.com.
About Falfurrias Capital Partners
Falfurrias Capital Partners is a Charlotte-based private equity investment firm that has raised approximately $1.9 billion across five funds. The firm invests in growing, middle-market businesses in sectors where the firm’s operational resources, relationships and sector expertise can be employed to complement portfolio company executive teams in support of growth objectives. Falfurrias Capital Partners employs a proprietary, research-based process called “Industry First” to identify markets with durable growth trends, construct a thesis based on research findings, and partner with management teams and companies to create strategic value. For more information, visit www.falfurriascapital.com.