The Era of Aggregation – Lexitas, Veritext, Magna and Others Consolidating the Court Reporting Industry

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The High-Stakes Race to Control the Record

The court reporting industry is in the midst of an unprecedented consolidation wave—fueled not by the needs of litigants or legal professionals, but by private equity investors chasing profit margins. As agencies like Lexitas, Veritext, Esquire, and Magna gobble up smaller firms, the very foundation of the profession is shifting. These conglomerates are not just scaling operations—they’re aggressively integrating automated speech recognition (ASR), digital reporting, and artificial intelligence to reduce reliance on human stenographers. For independent agencies, the future now presents a choice: sell, scale, or resist. And for the profession as a whole, the question looms large: will the race to maximize profits come at the expense of due process and record integrity?

The Big Four – Who’s Driving the Consolidation?

  • Lexitas has acquired TP.One (formerly Trustpoint.One) and has completed 31 acquisitions as of mid‑2025.
  • Veritext Legal Solutions welcomed at least six firms in 2025 including Catana Reporting, Scribe Associates, Metro Atlanta Reporters, Huney‑Vaughn, Carol Nygard & Associates, and Reporters on Madison.
  • Magna Legal Services merged with Basye Santiago Reporting in March 2025, growing to a national firm with 800+ employees and over 4,000 court reporters nationwide.
  • Esquire Deposition Solutions, backed by private equity, acquired Prose and Huseby in 2025.
  • The industry remains highly fragmented, with hundreds of small, locally owned firms still in operation, though exact counts vary.

Who’s Consolidating the Industry?

1. Lexitas Expands Again – The TP.One Acquisition

On July 28, 2025, Lexitas announced its acquisition of TP.One Court Reporting, formerly a division of Trustpoint.One. This move marks yet another milestone in Lexitas’ ongoing consolidation of the industry, adding to its now 30+ acquisitions nationwide. Lexitas has built a reputation for absorbing small to midsize agencies and layering them into its tech-enabled infrastructure, offering services from court reporting to process serving and legal staffing.

Lexitas says its goal is to “keep the core” of the agencies it acquires, while enhancing services with new resources. However, that often comes with changes in pay structures, formatting rules, scheduling expectations, and a shift toward a hybrid model that includes digital reporting.

Note: While Lexitas has adopted a hybrid approach—blending human stenographers with digital and ASR-based alternatives—this article does not condone such practices. Many court reporters believe this compromises due process, accuracy, and the integrity of the legal record.

2. Veritext Continues Its Nationwide Rollup

Veritext Legal Solutions has kept pace, completing at least six acquisitions in 2025 alone, including:

  • Catana Reporting (Sacramento, CA)
  • Scribe Associates (Ottawa, Canada)
  • Metro Atlanta Reporters
  • Huney-Vaughn Court Reporters (Des Moines, IA)
  • Carol Nygard & Associates
  • Reporters on Madison (Florida)

Veritext remains one of the most dominant players in the industry, absorbing regional firms to bolster its coast-to-coast network and maintain high-volume national contracts.

3. Magna Legal Services – Merger Over Acquisition

Magna took a slightly different approach, merging with Basye Santiago Reporting in April 2025. This merger brought Magna’s workforce to over 800 employees and more than 4,000 court reporters nationwide. Magna offers a wide array of services—court reporting, jury consulting, trial presentation, and medical record retrieval—positioning itself as a full litigation support partner.

4. Esquire’s Private Equity Play

Esquire Deposition Solutions is gaining steam, powered by its 2023 partnership with Gridiron Capital, a private equity firm. In 2025, Esquire acquired:

  • Prose Court Reporting & Legal Video Services (February 2025)
  • Huseby Global Litigation (June 2025)

These acquisitions reflect Esquire’s targeted approach, expanding into high-demand markets like Florida and the Northeast. Esquire emphasizes remote depositions, tech-forward solutions, and white-glove service.

Esquire operates more than 35 offices and supports 140,000+ depositions per year. While its acquisition volume trails Lexitas or Veritext, its strategy focuses on profitability, streamlined operations, and legal-tech integration.

The Private Equity Factor

It’s not just Esquire that’s backed by private equity—Lexitas and Veritext are, too. All three giants are under the control of major financial investors whose primary goals are growth, scale, and return on investment—not necessarily protecting the traditions of the stenographic profession.

  • Lexitas was acquired by Apax Partners in 2019, accelerating its aggressive nationwide expansion.
  • Veritext has been owned by firms including Pamplona Capital, and now Leonard Green & Partners and CVC Capital Partners.
  • Esquire is partnered with Gridiron Capital (since 2023), fueling its selective acquisition strategy and tech-driven service model.

Private equity backing gives these companies the capital to acquire dozens of smaller firms—but it also shifts their focus toward automation, efficiency, and scalable service models. That means more ASR, more digital integration, and fewer in-person human court reporters.

For stenographers, the question becomes existential: Are we building a profession—or a product?

What This Means for the Industry

FirmPrivate Equity OwnershipImplications
LexitasOwned by Apax Partners (since 2019)Drives aggressive M&A, tech investment, margin optimization
VeritextOwned by Pamplona → Leonard Green & CVCSupported growth via acquisitions, centralization, tech focus
EsquireBacked by Gridiron CapitalExpansion in targeted markets; emphasis on remote & tech-enabled service

How Many Smaller Agencies Have Been Acquired So Far in 2025?

  • Lexitas: Already over 31 total acquisitions, including TP.One, though most occurred before 2025.
  • Veritext: At least 6 acquisitions in the first half of 2025.
  • Magna LS: Completed at least one major merger so far in 2025.
  • U.S. Legal Support and Circle City Reporting: Active with acquisitions or mergers—e.g. Circle City acquired Smith Reporting, Buell Realtime merged with RJW Transcripts, etc.
  • Esquire Deposition Solutions: In 2025, as of mid‑June, had completed three acquisitions:
    • Duffy & McKenna Court Reporters, integrated on June 7, 2025
    • Huseby Global Litigation, integrated on June 21, 2025
    • Realtime Reporters, also fully integrated as of June 21, 2025
  • These additions reflect Esquire’s continued strategy of acquiring established regional agencies in strategic litigation markets.

Experts estimate that many dozens more small‑scale (often unpublicized) transactions occur annually via local agencies or individual buyers in this fragmented sector.

How Many Small Agencies Are Left?

Despite consolidation, the industry remains dominated by hundreds of small, locally‑owned agencies with no single firm holding more than about 5% of national market share. It remains one of the most fragmented legal‑services sectors in North America—even after decades of M&A.

What Do Big Agencies Look For When Acquiring Small Firms?

Across all consolidators, acquisition targets tend to share these traits:

➤ Client Base & Local Relationships

Buyers want agencies with entrenched local law‑firm relationships and repeat clients.

➤ Talent Pool

Trained court reporters and scheduling/operations staff are valuable assets—especially in markets with reporter shortages.

➤ Technology Readiness

Firms with ability to support digital reporting, remote proceedings, or basic tech portfolios are more attractive.

➤ Profitability & Cash Flow

Valued via EBITDA multiples—typically from 1× EBITDA (very small firms) up to 4–6× EBITDA for profitable, scalable targets.

Buyers typically value court reporting firms using EBITDA multiples—a financial metric that stands for Earnings Before Interest, Taxes, Depreciation, and Amortization. It’s a way to measure a company’s true operating profitability without accounting for financing or accounting decisions. Most small firms are valued at 1× EBITDA, while more profitable and scalable agencies with strong recurring revenue can command 4–6× EBITDA in acquisition deals.

How Can a Smaller Agency Position Itself to Be Bought for Maximum Value?

  • Build recurring local client relationships with solid retention and preference.
  • Maintain or grow EBITDA, and keep clean financials for valuation.
  • Adopt technology without over-investment—even basic understanding of digital deposition or remote platforms helps.
  • Retain key team members and reporters, as continuity matters in integration.
  • Work with a specialized M&A advisor—Jackim Woods & Co., for instance, recommends negotiating multiple offers, understanding valuation multiples, and preparing for due diligence proactively.

Strategies for Staying Independent—How to Survive on Your Own

Not every firm wants to sell. Here are survival strategies:

  • Emphasize Personal Service: Hyper-local, white-glove care is something big firms often can’t match. Differentiate through hyper-local service and personal relationships, especially in highly fragmented local markets.
  • Form regional alliances or cooperatives with other small firms to improve scale in scheduling, staffing, or technology.
  • Diversify revenue streams—e.g. add process service, legal staffing, record retrieval, or interpreting.
  • Invest selectively in tech tools (e.g. remote deposition platforms, scheduling software, electronic transcript delivery) to remain competitive. Remote scheduling, transcript delivery, and basic client portals can boost efficiency without compromising quality.
  • Note: Larger consolidators like Lexitas have adopted a hybrid model that combines human stenographers with digital reporting and ASR to reduce costs and increase coverage. However, many professionals in the field—including this author—do not condone this approach, as it undermines accuracy, due process, and the integrity of the record.

Outlook & Implications

The court reporting industry continues its aggressive consolidation in 2025, led by Lexitas, Veritext, Magna, U.S. Legal Support, and others. That trend is driven by:

  • Demand for broader service offerings
  • Technology adoption
  • Reporter shortages
  • Retiring owner‑operators seeking exits

At the same time, hundreds of small firms remain, each with opportunities either to be bought or continue thriving independently if they play smart.

📌 Final Takeaways

  • Lexitas is now a major consolidator (31+ acquisitions), with TP.One being its latest.
  • Veritext and Magna are also acquiring rapidly in 2025.
  • Small agencies—though still plentiful—are increasingly facing an “exit or evolve” decision.
  • Firms seeking to sell should optimize cash flow, client relationships, and tech compatibility for top valuation.
  • Agencies aiming to stay independent should lean into local differentiation, selective tech adoption, and revenue diversification.

The court reporting industry is rapidly consolidating—but it’s not too late for small agencies to thrive, grow, or position themselves for a meaningful exit. The key is understanding what buyers want, what clients need, and where your firm stands. Whether you’re planning your legacy or doubling down on independence, the time to act is now.

Resist: Rise of the Steno Resistance

Stenographers across the country are waking up to the reality that our profession is being reshaped not by those who practice it—but by those who profit from it. Now is the time to stand firm. To organize. To reclaim our value in the legal system. This is not just about saving jobs—it’s about protecting justice. Resist. Reclaim. Report.

StenoImperium
Court Reporting. Unfiltered. Unafraid.

Disclaimer

The content of this post is intended for informational and discussion purposes only. All opinions expressed herein are those of the author and are based on publicly available information, industry standards, and good-faith concerns about nonprofit governance and professional ethics. No part of this article is intended to defame, accuse, or misrepresent any individual or organization. Readers are encouraged to verify facts independently and to engage constructively in dialogue about leadership, transparency, and accountability in the court reporting profession.

  • The content on this blog represents the personal opinions, observations, and commentary of the author. It is intended for editorial and journalistic purposes and is protected under the First Amendment of the United States Constitution.
  • Nothing here constitutes legal advice. Readers are encouraged to review the facts and form independent conclusions.

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Published by stenoimperium

We exist to facilitate the fortifying of the Stenography profession and ensure its survival for the next hundred years! As court reporters, we've handed the relationship role with our customers, or attorneys, over to the agencies and their sales reps.  This has done a lot of damage to our industry.  It has taken away our ability to have those relationships, the ability to be humanized and valued.  We've become a replaceable commodity. Merely saying we are the “Gold Standard” tells them that we’re the best, but there are alternatives.  Who we are though, is much, much more powerful than that!  We are the Responsible Charge.  “Responsible Charge” means responsibility for the direction, control, supervision, and possession of stenographic & transcription work, as the case may be, to assure that the work product has been critically examined and evaluated for compliance with appropriate professional standards by a licensee in the profession, and by sealing and signing the documents, the professional stenographer accepts responsibility for the stenographic or transcription work, respectively, represented by the documents and that applicable stenographic and professional standards have been met.  This designation exists in other professions, such as engineering, land surveying, public water works, landscape architects, land surveyors, fire preventionists, geologists, architects, and more.  In the case of professional engineers, the engineering association adopted a Responsible Charge position statement that says, “A professional engineer is only considered to be in responsible charge of an engineering work if the professional engineer makes independent professional decisions regarding the engineering work without requiring instruction or approval from another authority and maintains control over those decisions by the professional engineer’s physical presence at the location where the engineering work is performed or by electronic communication with the individual executing the engineering work.” If we were to adopt a Responsible Charge position statement for our industry, we could start with a draft that looks something like this: "A professional court reporter, or stenographer, is only considered to be in responsible charge of court reporting work if the professional court reporter makes independent professional decisions regarding the court reporting work without requiring instruction or approval from another authority and maintains control over those decisions by the professional court reporter’s physical presence at the location where the court reporting work is performed or by electronic communication with the individual executing the court reporting work.” Shared purpose The cornerstone of a strategic narrative is a shared purpose. This shared purpose is the outcome that you and your customer are working toward together. It’s more than a value proposition of what you deliver to them. Or a mission of what you do for the world. It’s the journey that you are on with them. By having a shared purpose, the relationship shifts from consumer to co-creator. In court reporting, our mission is “to bring justice to every litigant in the U.S.”  That purpose is shared by all involved in the litigation process – judges, attorneys, everyone.  Who we are is the Responsible Charge.  How we do that is by Protecting the Record.

One thought on “The Era of Aggregation – Lexitas, Veritext, Magna and Others Consolidating the Court Reporting Industry”

  1. Veritext acquired PohlmanUSA based in St. Louis, MO either late last year or this year.

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