Between 2004 and 2006, Lake Capital invested in and merged four leading direct response television (DRTV) advertising agencies to form the industry's largest independent firm. The new marketing services company combines the professional teams of creative agency Respond2, media buying agency Cmedia and media buying agency ATC Agency Services. Duplication and production house Production West and entertainment marketing company R2 Entertainment, already affiliated with Respond2 and Cmedia, were also part of the merger.

The new company features major media buying offices in Portland and Philadelphia that, together, manage more than $200 million in media billings annually. In addition, the company offers its clients two full television production and edit facilities, state-of-the-art web design and management facilities, and a newly-updated broadcast duplication facility.

All senior management and staff remain in place at each of the companies, creating a new organization featuring one of the most experienced and broad-based management teams in the industry. Tim O'Leary, a veteran of the DRTV industry, is chief executive officer of the new holding company and continues in his role of chief executive officer of Respond2. Michelle Cardinal, also an industry leader, remains chief executive officer of Cmedia and oversees all media operations. David Savage and Marilyn Davis, who co-founded and built ATC's media operations over ten years, continue to lead the Philadelphia office and serve as executive vice presidents.

Lake Capital is working with the company's management team to grow current capabilities and add complementary services that enhance the company's relationships with both traditional direct marketers and corporate marketers across a variety of industries.

In 2006, Lake Capital and Respond2's management acquired Marketing & Media Services, Inc. (MMSI) to enhance the company's media planning and buying service offerings.  MMSI specializes in "per inquiry" DRTV, which Respond2's clients had been asking for but the company had to outsource prior to acquiring MMSI.  Per inquiry DRTV is the television equivalent of "cost per acquisition" advertising on the internet, where clients pay only for leads generated by their television spots.  Cross-sell began to take place immediately between Respond2's original client base and MMSI's, adding significant growth and profitability to the company.