Surge Private Equity has acquired massage chair and hurricane simulator provider Amuze Products.
Amuze provides massage chairs, hurricane simulation booths, and other vending products to businesses – airports, hospitals, trampoline parks, auto dealerships, shopping malls, hotels and truck stops – that enable its customers to generate additional revenue from otherwise unused space. Amuze installs, maintains, and monitors its chairs and machines at no charge to its customers and splits the generated revenue under revenue-sharing agreements.
Dallas-headquartered Amuze was founded by CEO Phillip Brothers and has an installed base of more than 3,000 chairs in all 50 states. In partnership with Surge, Mr. Brothers will continue to lead the company.
“Phil and I have been in touch for years now with the aim of partnering up. As the company has bounced back from COVID levels and resumed its growth rate, we were finally able to make it happen,” said Tom Beauchamp, the founding partner of Surge. “With 95% recurring revenue, a very diverse customer base including multiple blue-chip corporations, and a five-year revenue CAGR over 50%, Phil has built a very attractive company. We are eager to work with him and the company to help continue the growth trajectory.”
According to Surge, the growth strategy for Amuze includes add-on acquisitions and new product line expansions.
Surge Private Equity invests in companies that have from $1.75 million to $8 million of EBITDA and enterprise values of $10 million to $50 million. Sectors of interest include business services, healthcare, technology, specialty manufacturing, consumer and education. Surge was founded in 2017 and is headquartered in Dallas.
Debt financing for the acquisition of Amuze was provided by Austin-based CrowdOut Capital
© 2021 Private Equity Professional | August 16, 2021
