Cortec Group has acquired A1 Garage Door Service, a provider of direct-to-consumer residential repair and replacement garage door services.
A1’s services include garage door springs, rollers, and cable repair; drum and door panel replacement, weather stripping and door insulation; and maintenance and inspection. The Phoenix-headquartered company was founded in 2007 by CEO Tommy Mello and operates in 18 states and 25 markets across the United States. According to A1, the company is one of the largest and most reputable residential garage door service providers in the country.
“From my first meeting with the Cortec team, I knew they would be the best partner to help us take A1 to the next level,” said Mr. Mello. “Their expertise and track record in residential services is unmatched, and their enthusiasm for our business and its potential was apparent from day one. We look forward to partnering with Cortec and leveraging their experience and resources to grow our company faster than we could have on our own.”
“A1 is the premier national platform in the residential garage services industry,” said Doug Kruep, a partner at Cortec. “Tommy and his team have established the company’s leading reputation through their commitment to providing consistently excellent customer service, and a highly effective and repeatable go-to-market strategy. We are excited to partner with Tommy to help him continue to build on the company’s track record of growth and success.”
Cortec’s investment in A1 was made through its seventh fund, Cortec Group Fund VII LP, which closed at its hard cap in November 2019 with $2.1 billion of capital. A1 is the eighth and final platform for Fund VII.
“Leveraging our significant experience in the residential services space, including our investments in Window Nation, Groundworks, Goettl and Four Seasons, we quickly recognized A1’s growth potential and position as the acquirer of choice for independent garage door operators looking to grow their businesses,” said Will Keesler, a managing director at Cortec. “We are excited to continue scaling the business, both organically and through acquisitions.”
Cortec invests in United States and Canadian companies with revenues of $40 million to $300 million and EBITDA of $7 million to $35 million. Sectors of interest include specialty consumer, distribution, healthcare, and specialty services and products. The firm was founded in 1984 and is headquartered in New York City.
Senior debt to support the investment was provided by Audax Private Debt, PennantPark Investment Advisers, Invesco Private Debt, and Cliffwater Corporate Lending.
Cowen was the financial advisor to A1 on this transaction.
© 2023 Private Equity Professional | January 11, 2023
