Potomac Equity Partners Announce the Merger of its Portfolio Company Watermark Solutions with Synergy Resources, Creating a Leading ERP and Cloud Hosting Player

Washington, D.C., August 21, 2023 – Potomac Equity Partners, LLC (“Potomac Equity”), a Washington, D.C.-based investment firm whose principals have extensive experience investing in the technology sector, today announced the merger of its portfolio company Watermark Solutions, LLC (“Watermark”) with Synergy Resources, LLC (“Synergy”), creating a dynamic partnership that will fundamentally change the manufacturing IT solutions landscape. Potomac Equity invested additional capital into Watermark to support the merger transaction and provide capital for future growth opportunities. The newly formed company, WM Synergy, will be an industry-leading provider of enterprise resource planning (“ERP”) business applications, technology, and cloud hosting services. WM Synergy has regional offices across North America.  The financial terms of the transaction remain undisclosed.

The merger of Watermark and Synergy brings together a powerful combination of capabilities, allowing the new entity to offer a broader range of products and services to clients across various industries. With a comprehensive lineup of ERP offerings from esteemed partners like Infor, Acumatica, and Hexagon, WM Synergy is well-positioned to deliver robust products and expanded solutions tailored for small, medium, and large business enterprises. Leveraging over three decades of combined experience, the unified companies of WM Synergy have a proven track record of providing exceptional mission-critical solutions to address the ever-evolving needs of their customers.

WM Synergy offers solutions to clients in diverse industries, helping them meet their unique requirements through expert consulting services and tailored configurations to address each customer’s specific business challenges and processes. The expanded portfolio of products and services includes software management and support, business process consulting, security, and disaster recovery solutions. With a strengthened and dedicated workforce, customers can now access an even more extensive and experienced lineup of products and services.

Watermark and Synergy have forged remarkably similar profiles. Both companies are renowned for their technical expertise, specialized focus, exceptional customer service, profitable growth, and engaged workplace cultures. The aligned cultures and values of both companies will ensure a seamless and transparent trusted advisor approach to helping customers make the move to next-generation enterprise business suites. The organizations will continue to build on the leadership the two companies have established to create a new level of customer experience while strengthening and growing strategic partnerships.

“We are thrilled about the partnership between two customer-first organizations” said Paul Tedford, CEO of WM Synergy. “The combined companies present an expanded portfolio of products and services, positioning us as one of the largest and most experienced enterprise-level solution providers in the market today. Our customers and prospects will benefit from a reliable partner offering diverse products to address their enterprise software and business improvement needs, backed by one of the most substantially diversified teams of industry specialists.”

Russ Baxley, COO of WM Synergy, echoed this sentiment, stating “Our vision is to create a company that excels in delivering diverse and evolving solutions in the enterprise software space, which we see as a critical need in the current market landscape. WM Synergy will fill a void and will be a vital resource for companies seeking continuous and expanded IT solutions amidst changing market dynamics.”

Potomac Equity Partners played a pivotal role in facilitating the union of the two organizations. With their expertise in integrating similar entities to create more robust and diverse companies, Potomac Equity recognized the potential of this collaboration in benefiting the overall market they serve. “We found the perfect fit in people, IT solutions, and expertise that will allow us to offer something unique to the ERP market space addressed by these organizations” commented John Bates, Potomac Equity’s Managing Partner. “Both companies brought strong and distinct approaches to their respective markets, and by combining them, we are poised to enhance their offerings significantly going forward.” Added Pascal Denis, Partner at Potomac Equity, “We are excited about the prospects of the combined WM Synergy, and expect to explore additional acquisition and partner opportunities in the future.”

The transaction received exclusive financial advisory support from O’Hare Management, LLC.

For more information on the combined entity WM Synergy, visit www.wm-synergy.com.

About Potomac Equity Partners, LLC: Potomac Equity Partners is a Washington, D.C.-based private equity investment firm that strives to deliver superior equity returns by closely collaborating with portfolio company management teams. The firm seeks to invest in companies with leading products and services, exceptional management teams, and the potential to achieve exponential long-term growth and overall performance. For more information about Potomac Equity Partners, visit www.potomacequitypartners.com.

About Synergy Resources: Founded in 1994 and based in Central Islip, NY, Synergy Resources has been providing innovative software solutions to small to medium-sized manufacturers and distributors. As a Gold Channel Partner with Infor and Acumatica, the company has a diverse array of software options tailored to meet specific customer needs. Synergy has successfully assisted over 1,250 companies in achieving their business objectives with top-notch ERP software and service solutions. The company was recognized as the 2022 Infor Partner of the Year for New Business and the 2022 Acumatica Growth Partner of the Year.

About Watermark Solutions: Headquartered in Houston, TX, Watermark Solutions specializes in providing effective and efficient ERP solutions and services, with a focus on clients in the industrial and manufacturing sectors. Offering a wide range of services from enterprise-level software to expert IT services and cloud deployment options, Watermark serves its clients’ unique business challenges and processes. The company is a Gold Channel Partner for Infor software solutions and offers flexible software deployment and cloud hosting options through its wholly owned subsidiary, Apptrix. Watermark was recognized as the 2022/2023 Hexagon Partner of the Year.