Birch Equity completes debut investment

The Atlanta-based mid-market firm was founded in January. 

Birch Equity Partners has made its first investment by acquiring communications company Tempo Telecom for an undisclosed sum.

The company provides prepaid wireless phone plans and government benefit phone services throughout the US. Birch Equity’s investment comes a month after the firm was founded, according to its website. The transaction was funded with capital from the firm’s founders. Birch Equity does not have plans to raise a traditional private equity fund soon, according to a source familiar with the situation.

Birch Equity declined to comment.

Birch Equity will also provide back-office and call center services to Tempo, in addition to growth capital, managing director and founder Vincent Oddo said in the statement.

Atlanta-based Birch invests in high-growth, expansion-stage privately-held companies in sectors such as business services, consumer services, education, healthcare and technology. Birch seeks to invest between $1 million and $10 million in North American businesses with between $5 million and $50 million of revenue, according to its website.

The firm is a partnership between Oddo and co-founders Kirby Godsey and Holcombe Green. Oddo and Godsey previously founded Birch Communications, which provides communications and cloud services, according to the firm’s website. Oddo remains president and chief executive officer of Birch Communications, while Godsey is chairman of the board.