Mosaic Capital Partners Announces ESOP Acquisition of NuSource Financial

February 16, 2021

Mosaic Capital Partners, LLC (“Mosaic”) announced today the ESOP acquisition of NuSource Financial, LLC (“NuSource”, or the “Company”) from Tonka Bay Equity Partners (“Tonka Bay”). NuSource is a provider of technology integrated solutions, equipment and maintenance services to regional banks, community banks and credit unions in the central United States.

“We are honored to be a part of NuSource’s next chapter and believe the Company is a perfect fit for Mosaic’s ESOP strategy.  Employee ownership and accountability are core to the Company’s culture and becoming a 100% owned ESOP is a natural extension for NuSource”, remarked Ian Mohler, the lead partner from Mosaic on the transaction. “We believe in the tailwinds driving branch transformation and NuSource has the right combination of vendor relationships, technological capabilities, and service reputation to be a great partner for financial institutions of all shapes and sizes”, he continued.

Founded in 1999 by CEO Jon Erpelding and CTO Rod Beaver, NuSource services over 600 unique financial institution customers for their ITM, ATM and Security Equipment needs. NuSource is a Diamond Club channel partner with Hyosung, the fastest growing ATM manufacturer in the U.S. NuSource is headquartered in Eden Prairie, MN and has operations in 13 states across the country.  Tonka Bay acquired a majority stake in 2015.

Jon, who will continue as NuSource’s CEO, remarked, “We are incredibly excited to enter this partnership with Mosaic and move forward as an employee-owned company. Our employees are essential to the success of the business and the bedrock of our industry-leading service offering. The implementation of the ESOP reflects their hard work and dedication.” Rod, who will also continue in his role, added, “We evaluated many options in selecting the right partner moving forward. Mosaic’s expertise as a financial sponsor and bringing the ESOP benefit convinced us that this was the right solution for us.”

The ESOP provides a substantial retirement benefit to all eligible, full-time employees. Research shows that companies with an ESOP tend to be environmentally conscious, experience less voluntary turnover, and perform better in times of economic downturn.

Duff & Phelps served as the Company’s financial advisor during the transaction.

About NuSource Financial

NuSource Financial Services, LLC (“NuSource”), is a leading technology integrator and service provider for financial institutions in the U.S. For more information, visit

About Mosaic Capital Partners, LLC

Mosaic Capital Partners, LLC (“Mosaic”) is a private equity firm focused on acquiring lower middle market companies ($3-$12 million EBITDA) through an Employee Stock Ownership Plan (“ESOP”) buyout. Based in Charlotte, NC Mosaic combines a number of compelling attributes of private equity and employee ownership to provide business owners, management teams and employees with a differentiated change of control option.



Ian Mohler
Mosaic Capital Partners
101 S. Tryon Street, Suite 2620
Charlotte, NC 28280