Parthenon Capital Partners Acquires eSecLending

The private equity firm Parthenon Capital Partners has acquired independent securities lending agent eSecLending.

Along with Parthenon, Craig Starble, the former head of securities finance at State Street, will invest in eSecLending and join as its new chief executive officer.

“I am thrilled to partner with Parthenon and eSecLending,” said Starble. “The merits of a boutique, independent service provider have become increasingly evident in the current market environment where clients are seeking aligned interests and value-added, tailored solutions. I look forward to joining the team and collaborating with an innovative company to build upon and execute their strategy and goals.”

Starble already had some ties to eSecLending, as several of the company’s executives used to work under Starble at his now-defunct company, Premier Global Securities Lending (PGSL), including Peter Economou, Paul Lynch and Oberon S. Knapp. Starble founded PGSL in 2009, but he was then sued by State Street for poaching his former colleagues. In 2011, PGSL and State Street reached a settlement, but PGSL closed due to a lack of investors.

eSecLending’s current co-CEO, Chris Jaynes, will assume the role of President, responsible for client management, strategy and business development. The other co-CEO, Karen O’Connor, will retire from the company as previously announced.