Cuatrecasas advises Sterling on acquiring Socrates to expand client services in Latin America
Cuatrecasas has advised Sterling Check Corp. (Nasdaq: STER), a leading global provider of background screening and identity services, on the acquisition of Socrates Ltd., the largest independent screening company in Latin America.
This acquisition expands Sterling’s global presence into Latin America to serve the rapidly growing regional hiring needs of both multinational and local clients.
According to Sterling’s CEO Josh Perez, “This is an incredible opportunity to expand Sterling’s presence into a region with a rapidly increasing hiring demand across our clients, especially in financial services and technology. The Socrates team has built a highly reliable operational model and suite of screening services, guided by their people-first, client-centric values that are a perfect fit with the Sterling culture.”
Socrates’s expert management team will join the Sterling leadership team, building upon Sterling’s proven model of bringing deep regional expertise, innovative localized solutions, and unrivaled client service to deliver growth in the region.
“We are excited to join Sterling and are proud of this next chapter for our company,” said Socrates Executive Director, Robert Jones. “We look forward to combining our regional expertise in Latin America with Sterling’s best-in-class client service model.”
With regard to the legal advisory services for this transaction, Santiago Ferrer, partner at the Cuatrecasas Mexico City office, added, “With the completion of this transaction, we continue to strengthen our ability to offer our clients a consolidated service in Latin America and to position a top-level firm in the different jurisdictions.”
The acquisition of Socrates builds on Sterling’s strong track record of successful M&A and is consistent with the company’s geographic expansion and capital allocation priorities, including the recent announcement of a new five-year credit facility and share repurchase program. The transaction was fully funded by cash on the balance sheet.