Soundcore Hits the Gas with Reliable Energy Launch

Soundcore Capital Partners has formed Reliable Energy Partners as a new platform in the propane distribution sector and has acquired its first two businesses with the acquisitions of Florida Lift Gas and Nashville Propane Exchange.

Florida Lift Gas (FLG) is a provider of propane distribution services with a specialized focus on forklift cylinder exchange for commercial and industrial customers. FLG is headquartered in Tampa, with an additional service center in Orlando.

Nashville Propane Exchange (NPE), headquartered near Nashville in La Vergne, Tennessee, also specializes in forklift cylinder exchange services for a range of commercial and industrial customers.

Liquid propane gas (LPG) cylinders are used to power propane-fueled forklifts, which are widely used in warehouse operations, manufacturing facilities, and distribution centers due to their indoor air quality advantages and lower refueling time compared to electric or diesel alternatives. Both FLG and NPE services include scheduled delivery and replacement of LPG cylinders, emergency fills, and on-site safety training services.

Customers of both companies include logistics firms, light industrial operators, and facilities management providers with medium to large material handling fleets. The company also services local businesses with smaller forklift fleets and partners with equipment rental firms to supply fuel alongside leased lift trucks.

Reliable Energy Partners is led by CEO Sean Daugherty and is headquartered in Tampa. Mr. Daugherty has more than 25 years of operational and executive experience in the propane industry. Prior to joining Reliable, he was the COO at Pinnacle Propane (2024–2025), vice president of operations at ThompsonGas (2021–2023), regional director at AmeriGas (2012–2021), and regional vice president at Heritage Propane (1998–2012). Mr. Daugherty has experience leading multi-state operations, pursuing strategic growth initiatives, as well as safety, customer service, and operational efficiency across the propane distribution sector.

“When Soundcore approached me, I could see that their industry knowledge, developed through rigorous thesis work, paired strongly with their track record of creating and growing platform companies, making them an ideal partner,” said Mr. Daugherty. “With Soundcore’s support, I look forward to building the leadership team and becoming both the employer of choice and preferred partner to individual propane operators across the United States.”

The propane distribution sector in the United States is highly fragmented, with over 2,000 independent retailers operating across regional and local markets. This structure, coupled with the industry’s route-based service model and recurring cash flows, has drawn sustained interest from private equity firms seeking consolidation opportunities. Matrix Capital Markets Group identifies the sector’s scalability and consistent customer demand as key investment drivers, noting that propane serves nearly 12 million residential, commercial, and agricultural accounts nationwide.

Market size and growth projections reinforce investor interest. According to Fortune Business Insights, the U.S. propane market was valued at $26.6 billion in 2022 and is expected to grow at a compound annual rate of 11.4% through 2030. As private equity capital continues to flow into fragmented service industries, the propane sector offers a favorable landscape for buy-and-build strategies aimed at achieving scale, operational efficiency, and geographic expansion.

“We are excited to launch the fourteenth platform in Soundcore’s history with our entry into the growing propane distribution sector, marking the conclusion of months [of] market mapping and identification of key organic and acquisition-related growth levers by the Soundcore team,” said Jarrett Turner, the managing partner and founder of Soundcore. “The propane industry is primed for consolidation and professionalization, a core competency of Soundcore’s differentiated approach to value creation.”

“We are thrilled to partner with the team at Florida Lift Gas as part of Reliable’s launch,” said Michael Khutorsky, a senior managing director at Soundcore. “The company brings a legacy of operational excellence and deep customer relationships. Together, under the Reliable platform, we are well-positioned to accelerate growth, expand our geographic footprint, service offerings, and continue delivering exceptional service to our customers. We are committed to building Reliable into a best-in-class scaled propane distribution company that provides a compelling value proposition to owner operators considering exit alternatives.”

Soundcore specializes in North America-based buy-and-build investments in the lower middle market. Target companies typically have EBITDA from $2 million to $14 million and are active in business and outsourced services, industrial services, specialty manufacturing, and value-added distribution sectors. The firm closed its most recent fund, Soundcore Capital Partners Fund II LP, at $350 million in July 2018 and is currently in the process of raising its third fund. Soundcore was founded in 2015 and is headquartered in New York City.

“As part of our strategic planning, we identified a number of high-potential markets and Nashville is a perfect fit,” added Mr. Khutorsky. “We see significant growth potential, including expanding into residential propane services, which will be complemented by executing on a robust pipeline of acquisition opportunities.”

The formation of Reliable Energy Partners is the fourteenth platform in Soundcore’s portfolio.