TA Associates has made a majority investment in Towne Park, a provider of outsourced parking management services. As part of the transaction, Towne Park management maintained a significant stake in the company. In addition, existing investor Camden Partners sold its stake in Towne Park and HarbourVest Partners, also a current shareholder, re-invested in the company.
Towne Park is a provider of outsourced parking management and other specialized hospitality services to the hotel and healthcare industries. Towne Park’s services include valet parking, self-parking, door service, bell service, patient transportation, employee support, concierge, shuttle transport and event services. The company has 8,500 employees serving more than 530 customers in 50 markets across the United States. Major hospitality clients include Four Seasons Hotels & Resorts, Hilton Worldwide, Hyatt Corporation, Loews Hotels & Resorts, Marriott International, Omni Hotels and Resorts, The Ritz-Carlton Hotel Company and Starwood Hotels and Resorts. Representative healthcare clients include Adventist Health System, Allegent Health, Banner Health, St. Luke’s Health System and Tenet Healthcare Corporation. Towne Park was founded in 1988 and is headquartered in Annapolis, MD (www.townepark.com).
“With strong historical growth and a talented and proven management team, Towne Park is a highly attractive investment for TA Associates,” said Michael Berk, a Managing Director at TA Associates who will join the company’s Board of Directors. “Towne Park is a true entrepreneurial success story, growing into the recognized leader in institutional outsourced parking. We will work closely with Towne Park to leverage their leadership position and further grow the business.”
TA Associates makes buyouts and minority recapitalizations of profitable growth companies in the technology, financial services, business services, healthcare and consumer industries. Since founding in 1968, TA has invested in over 430 companies globally and has raised more than $18 billion in capital. The firm has offices in Boston, Menlo Park, London, Mumbai and Hong Kong (www.ta.com).
“Towne Park offers customers a very compelling value proposition,” said Jeffrey Del Papa, a Principal at TA Associates who will also join the company’s Board of Directors. “In addition to a professional, data-driven partnership, the company enables businesses to increase service levels and profitability. Given the ongoing migration to outsourced services and a highly fragmented market, we anticipate continued organic and acquisitive growth for Towne Park.”
“We are very pleased to welcome TA Associates as an investor in Towne Park,” said Jerry South, Founder & CEO of Towne Park. “TA brings a wealth of experience, strategic guidance and contacts, and partnering with the firm is a natural next step in our evolution. With TA’s assistance, we will grow our existing client relationships and pursue additional opportunities, while continuing to meet the unique hospitality and service needs of each of our clients.”
Goodwin Procter provided legal counsel to TA Associates. Hogan Lovells served as legal counsel and Harris Williams & Co. served as financial advisor to Towne Park.
© 2014 PEPD • Private Equity’s Leading News Magazine • 1-7-14
