VSS exits Centroid Systems through sale to Gridiron Capital

VSS Capital Partners has sold its position in Centroid Systems through the company’s acquisition by Gridiron Capital, according to PE Hub. Financial terms of the transaction were not disclosed, leaving no public valuation or return metrics for investors to assess.

Centroid Systems is a Troy, Michigan-based technology services company focused on Oracle Cloud solutions for middle-market and enterprise clients, PE Hub reported. The company was founded in 1997, according to the same report.

VSS invested in Centroid in 2021, PE Hub reported. The sale marks an exit for VSS, a private equity term used when an investor disposes of its ownership stake, commonly through a sale to another sponsor, a strategic buyer, a recapitalisation or a public-market transaction.

In this case, the exit came through a sponsor-to-sponsor transaction, with Gridiron Capital acquiring Centroid. The absence of disclosed pricing means the transaction gives limited public information on current valuation levels for cloud-focused technology services providers serving larger corporate customers.

Deal context

Centroid’s business is tied to Oracle Cloud services, according to PE Hub. Companies in this field typically support clients using enterprise software and cloud infrastructure, although no additional detail on Centroid’s specific service lines, customer base or financial performance was disclosed in the report.

Middle-market and enterprise customers often rely on external technology services firms to help implement, manage or improve cloud systems. PE Hub identified Centroid’s focus as Oracle Cloud solutions, but did not report revenue, earnings, employee count or geographic footprint.

Gridiron Capital’s acquisition of Centroid transfers ownership of the business from VSS to a new private equity sponsor. No financing details, management changes or strategic plans for Centroid were disclosed.

What was disclosed

• Seller: VSS Capital Partners, according to PE Hub.
• Buyer: Gridiron Capital, according to PE Hub.
• Target: Centroid Systems, a technology services company based in Troy, Michigan.
• Sector focus: Oracle Cloud solutions for middle-market and enterprise clients.
• VSS investment date: 2021.
• Centroid founding year: 1997.
• Deal value: not disclosed.

The transaction adds to private equity activity in technology services, where cloud migration and enterprise software support remain recurring areas of sponsor interest. PE Hub did not provide further terms or a closing timetable.

This story draws on original reporting from PE Hub.