Tom Stockton, CEO of The CMI Group, Inc. (CMI) and Mark Neeb, CEO of The Affiliated Group, Inc. (TAG), in a joint statement to their respective companies, announced the stock purchase of TAG by CMI.
The exact terms of the deal were not disclosed. TAG and Affiliated Credit Services will become wholly owned subsidiaries of The CMI Group along with its other subsidiaries, A to Z Call Center Services, LP and Credit Management, LP. All companies will operate under their current names. TAG will remain in Rochester, MN. The CMI Group, Inc. will remain in Carrollton, TX.
The CMI Group, Inc. is a 100% employee owned enterprise.
Stockton said, “The acquisition of TAG has been under consideration for some time.”
Both Neeb and Stockton have served on the American Collectors Association board of directors and are past presidents of ACA. As such, they have known each other for some time and have been somewhat familiar with the progress of each other’s companies over the years. During a friendly discussion of each other’s plans and desires for the future, Stockton said, “it occurred to us that we should investigate the possibility of uniting our companies.”
Neeb said, “The marriage of our two companies is a perfect fit, not only for my own personal plans, but also to maximize the benefit to my associates and clients at TAG. I am thrilled that TAG employees will be part of a much bigger enterprise and actually have ownership under The CMI Group, Inc. ESOP plan. In addition, TAG clients will benefit from the experience, technology and customer-first focus that CMI brings to the partnership, while maintaining the strong performance and relationships developed with TAG employees over the years. It’s a win for everyone involved.”
Stockton added, “Mark and I have worked on ACA business for many years and we have come to know how closely our philosophies of running an ARM company align. We are both committed to top-notch service to our clients, regulatory compliance and the best possible working conditions for our associates. I couldn’t be happier that we have been able to put this deal together. I know our respective staffs will work together seamlessly to make sure our clients continue to get the excellent service they have come to expect.”
The combined companies have 3rd party collection experience in cable, communications, medical, utility and government industries, as well as, a wide range of 1st party and customer service experience in multiple industries.