Power Digital

Canaccord Genuity Advises Leading Digital Performance Marketing Services Company Power Digital on its Strategic Capital Investment from Court Square Capital Partners

Canaccord Genuity is pleased to announce it has advised Power Digital Marketing, Inc., a leading digital performance marketing services company that utilizes data, analytics, and proprietary technology to drive digital commerce, on its strategic capital investment from Court Square Capital Partners, a middle market-focused private equity firm with $7.5 billion in assets under management. This investment comes after three years of unprecedented growth at Power Digital, which has expanded in headcount by more than 400 employees and experienced in excess of 400 percent revenue growth during that period. Power Digital was previously a portfolio company of Periscope Equity.

Power Digital is a leading, data-driven performance marketing company that is nationally recognized for its ability to combine the best of art and science. As a tech-enabled full-service firm, the company offers best-in-class services that provide best-in-class full-funnel marketing. Power Digital is hyper-focused on helping brands scale revenue and increase profits by using their first-party data and Power Digital’s proprietary data warehouse to guide strategy, ultimately driving irrefutable value for clients. Unique to the company is its proprietary, machine-learning platform SPRnova™, which can analyze any business’ growth opportunities with a corresponding roadmap of how to execute and track progress across every marketing channel. Leveraging its team of the nation’s leading consumer strategists, creatives, and data scientists, Power Digital provides scalable and tangible marketing solutions for each stage of the funnel and for every milestone of the consumer journey.

Power Digital managed nearly $600 million in ad spend in 2021 and experienced 110 percent net revenue retention with a 64 percent net organic revenue growth rate. In addition, the company has an employee retention rate in excess of 91 percent, gave out more than 150 promotions last year, and has a 68 percent strong female workforce.

Court Square’s investment will, in part, support Power Digital’s proprietary machine learning tech platform SPRnova™, as well as fund strategic acquisitions that share the company’s core values and prioritization on exceptional service quality. The company will continue to operate out of its San Diego, California headquarters, with current CEO and founder Grayson Lafrenz taking on an additional role as chairman.

Court Square is a middle market private equity firm with one of the most experienced investment teams in the industry. Since 1979, the firm has completed more than 240 platform investments, helping managers, families, and founder-owners to develop their companies into leaders in their respective markets. Court Square invests in companies that have compelling growth potential in the business services, industrial, healthcare, and tech and telecom sectors. The firm has $7.5 billion of assets under management and is based in New York, NY.

Canaccord Genuity, with a team led by Sanjay Chadda and Peter Sullivan, served as the exclusive financial advisor to Power Digital and Periscope Equity.