H-Cube Announces BPO Acquisition of Blackheath Financial

H-Cube, LLC (H-Cube), announced the acquisition of Blackheath Financial (Blackheath), a leading consulting firm specializing in the Commercial Mortgage Backed Securities (CMBS) industry and commercial real estate financial processes. H-Cube was formed in January 2005 by Henry Hortenstine and GTCR Golder Rauner (GTCR), one of the nation’s leading private equity firms, with the strategy of building a premier global business process outsourcing (BPO) firm. H-Cube currently has over 4,000 employees in India, supporting the financial services industry from its operations centers in Mumbai and Chennai.

Blackheath provides underwriting and due diligence services to major market participants in the CMBS industry. Headquartered in New York City, Blackheath employs approximately 100 professionals and supports its clients from offices in New York, London, Los Angeles and Houston.

Co-founders Benek Oster and Andy Rudenstein will continue to lead Blackheath. “This combination is an attractive opportunity for Blackheath, our clients and our employees,” said Oster. “H-Cube’s management experience and offshore capabilities will enable us to expand the services we provide to our clients and enhance career opportunities for our employees,” added Rudenstein.

“We are extremely impressed with Blackheath’s success,” said Hortenstine. “Benek, Andy and their team are well positioned to capitalize on the continued growth in the real estate and financial services outsourcing markets. Blackheath is a great complement to H-Cube’s recent acquisition of Global Realty Outsourcing (GRO), a top provider of onshore/offshore solutions to the real estate finance industry.”

“The acquisition of Blackheath provides significant opportunity for H-Cube. The combination of Blackheath’s strong client relationships with GRO’s high-end analytical services enables H-Cube to offer an even broader set of services to its customers. Both businesses have demonstrated strong growth and we are very enthusiastic about the opportunities within the real estate and financial services industry,” commented GTCR Principal Collin Roche.

About H-Cube, LLC
Based in Dallas, Texas, H-Cube was formed in January 2005 by Henry Hortenstine and GTCR with the objective of creating a world class business process outsourcing company. At that time, GTCR announced its plans to invest up to $100 million in equity capital in H-Cube for acquisitions and other growth initiatives. Since its inception, H-Cube has acquired three companies, all focused on the financial services industry. In May 2005, H-Cube acquired Zenta, Inc., a leading BPO company with operations in Wayne, Pennsylvania and Mumbai, India, specializing in credit card servicing and accounts receivable management. In December 2005, H-Cube acquired Global Realty Outsourcing, Inc., a BPO company focused on the real estate finance industry, specializing in analytical and underwriting support for capital markets and commercial and residential mortgage servicing. GRO has operations in New York, Charlotte, NC, and Chennai, India. With its most recent acquisition of Blackheath, H-Cube has greatly expanded its commercial real estate service offerings, specifically in the CMBS market. More information about Zenta and GRO can be found at www.zentagroup.com and www.gro.com.