Capstone Partners advised Tsoi Kobus Design—a prestigious architectural services firm renowned for its design excellence—on its acquisition by DLR Group. Terms of the deal were not disclosed.
Based in Boston, Tsoi Kobus Design creates award-winning environments for blue-chip clients in the science and technology, healthcare, higher education, and commercial development end markets. Their design-first approach advances knowledge discovery and combines advanced technology with humane environments. Tsoi Kobus Design looks to create spaces that can support the delivery of compassionate healthcare, accelerate discovery, promote learning, and enhance the quality of human interaction. For more information, click here.
The deal ensures the continuation of Tsoi Kobus’s 40-year design legacy, providing the firm’s employees and clients with an expanded global platform to influence the next iteration of healthcare and life sciences design. The firm will operate as DLR Group | Tsoi Kobus Design in Boston, and Tsoi Kobus employees will have the opportunity to invest in DLR Group stock and become employee-owners. The opportunity to be part of a 100% employee-owned firm was a deciding factor for Tsoi Kobus to join DLR Group.
Applying their comprehensive due-diligence protocols, I was thoroughly impressed by how quickly [Capstone] understood the culture and strength of our design platform. Their curiosity and ability to synthesize feedback allowed them to quickly translate both my professional and financial goals into a clear value proposition. Their strategic financial studies and grasp of both the industry and the nuanced character of my firm assured that our unique offering was second to none. They positioned us expertly as we went to market, resulting in tremendous interest from qualified, potential buyers.
Kobus continued, “As we narrowed the field and I involved my leadership team, the firm’s personality and competencies became tangible to Capstone. Their final recommendation, through their expert analysis, enabled me to select a partner that values what I have created, has a compatible DNA, and will allow my employees endless opportunities to build and grow their careers. Their negotiation strategy resulted in an excellent outcome for myself, my family, and my team.”
Jesse Betzner, Senior Director at Capstone Partners, added, “It was truly a privilege to represent Rick Kobus and Tsoi Kobus Design on this landmark transaction. Over the last 40 years, we have watched the company become the premier architecture firm serving its core New England market with international reach. By combining with DLR Group, the company is well-positioned for continued growth for years to come.”
DLR Group, headquartered in Omaha, is an integrated design firm delivering architecture, engineering, interiors, planning, and building optimization for new construction, renovation, and adaptive reuse. DLR Group is 100 percent employee-owned and fully supports the initiatives and goals of the 2030 Challenge, and it is an initial signatory to the China Accord and the AIA 2030 Commitment. For more information, click here.
The expert investment banking professionals on Capstone Partners’ Business Services Team work with leading middle market companies operating in the Professional Services market to advise with their strategic decision-making in order to maximize financial outcomes at every stage of the business lifecycle. Our firm has developed a full suite of corporate finance solutions, including M&A advisory, debt advisory, financial advisory, and equity capital financing to help privately owned businesses and private equity firms address any need, ranging from growth and financial or operational advisement to an ultimate exit transaction. To learn more about this transaction, or about the benefits of starting a relationship with our Professional Services Banking Team, click here.
