How Private Equity Firm HGGC Is Helping Retailers Respond to Amazon

According to estimates, over 5,000 retailers have shut their doors due to competition from online shopping giant Amazon. Now, one private equity firm has created a retail software platform to help retailers fight the world’s biggest Ecommerce company. That private equity firm, HGGC, is combing two of their most disruptive start-ups to create a formidable Amazon fighter.

HGGC is known as one of the top mid-market Private quality firms. This Palo-Alto based company has 60 companies in their portfolio with a combined investment worth of $4.2 billion dollars. Two of these companies are retail software platforms MyWebGrocer and Mi9. Recently, the firm announced a merger of portfolios with General Atlantic to create a new Amazon fighting platform to be named Mi9.

HGGC has a long history of investing in start-ups that look to disrupt larger competitors. So it will be no surprise that this private equity firm would be stepping up to help retailers fight back the onslaught of Amazon’s growth. In fact, Amazon has already made serious incursions into the supermarket sector with their purchase of Whole Foods and their creation of Prime Now, a same day produce delivery service.

With Mi9, retailers will have access to a software platform that will allow them to manage merchandise and process their orders while also providing point-of-sale technology and data analytics. The platform should be ready for launch in early 2019.

Mi9 will join HGGC’s 60 companies in the firm’s portfolio. While many of these companies come from a diverse range of sectors, just about all of these companies are known for their advanced approach to technological solutions to marketplace issues. Other firms in the portfolio include AutoAlert, RPX, HelpSystems, Serena, IDERA, Aventri, Selligent, FPX, and Davies Group.

Since 2007, HGGC has been one of the top mid-market private equity firms in the investment sector. Key personal include Gregory M. Benson, Leslie M. Brown, Jr., Neil H. White, Richard F. Lawson, Jr.,and NFL Hall of Fame quarterback Steven Young. Since the company’s inception, the firm has executed over $60 billion in transactions. As the firm enters its next decade of operation, HGGC will seek to further find and develop disruptive and innovative start-ups.

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