Source Refrigeration Holdings (DBA CoolSys), a portfolio company of Ares Management and the parent company of refrigeration and HVAC companies nationwide, has acquired Eastern Refrigeration. Ares Management acquired CoolSys from Audax Private Equity in March 2019.
Eastern Refrigeration is a provider of commercial refrigeration and HVAC services to supermarkets in Connecticut, Rhode Island, and Massachusetts. Customers of the company range from small local markets to big box stores, including Sam’s Club, Costco, Walmart, and Whole Foods. Eastern Refrigeration was founded in 1975 by Pierre Belisleand is headquartered near Hartford in Colchester, Connecticut.
CoolSys provides commercial refrigeration and HVAC services to food retailers, convenience store chains, commercial and industrial companies. Services include design, installation, environmental and energy optimization, and maintenance services. The company has more than 1,900 field-based service and installation experts serving the daily needs of more than 4,000 customers across North America. CoolSys, led by CEO Adam Coffey, is headquartered near Los Angeles in Brea, California.
The buy of Eastern Refrigeration expands CoolSys’ market presence in the Northeast and, according to Ares Management, resumes the company’s nationwide expansion in the wake of the COVID-19 pandemic.
“CoolSys is excited to relaunch our M&A growth strategy with the acquisition of Eastern Refrigeration. This acquisition is another key step in fulfilling our vision of becoming a national service provider that offers a full-spectrum of best-in-class solutions for mission-critical refrigeration and HVAC systems in light commercial, commercial and industrial markets,” said Mr. Coffey. “This strategic acquisition strengthens our market position in the Northeast by providing density in some existing markets and opening up new states for CoolSys.”
The buy of Eastern Refrigeration is the fifth under Ares’ ownership and follows the buys of Virginia-based BRR Refrigeration (December 2019), Michigan-based Tech Mechanical (December 2019), Florida-based Building Air Services (October 2019), and Minnesota-based Agape Mechanical (July 2019).
Ares Management (NYSE: ARES) has approximately $130 billion of assets under management and invests in private equity, leveraged loans, high-yield bonds, distressed debt, and private debt. Within Ares, its private equity group manages $23 billion of assets and is currently investing its fifth private equity fund with $7.8 billion of committed capital. Ares is headquartered in Los Angeles with offices across the United States, Europe, Asia, and Australia.
Private Equity Professional | June 23, 2020