Corridor Capital has formed a new platform company, Consolidated Flooring, to acquire SCI Floor Covering (SCI). Corridor Capital intends to use Consolidated Flooring to build a platform for the regional consolidation of the highly fragmented flooring market in the Midwest. SCI’s owners and management team participated with Corridor on this transaction.
SCI Floor Covering is a distributor and installer of floor covering products for the repair, maintenance and restoration of commercial, healthcare, multi-family and insured residential properties located in Michigan. The company was founded in 1980 and is headquartered near Detroit in Southfield, MI (www.scifloorcovering.com).
“In its market, SCI offers unparalleled product quality, professionalism, customer service and commitment to the growth and development of all its stakeholders,” said Craig Enenstein, CEO of Corridor. “We are very excited to partner with its management to accelerate the growth of the business and bring its superior product and service offering to an even broader market.”
Corridor Capital makes control investments of $3 million to $12 million in mid-market companies with EBITDAs of $2 million to $5 million. Sectors of interest include specialty manufacturing, business services, and environmental services. Corridor focuses on complex situations, particularly those requiring growth support or operational or financial engagement. Corridor’s investor base includes approximately 150 executives across an array of industries and disciplines that the firm uses as an active resource for its portfolio companies and their teams. The firm is based in Los Angeles (www.corridorcap.com).
“SCI’s long-term success and growth has been driven by our commitment to attracting and developing highly talented team members, delivering consistently superior products and services to our diverse customer base, and offering manufacturers a dependable, professional distribution partner in the Michigan market. We knew that in order to expand our presence throughout the Midwest and meet the evolving needs of all of these critical stakeholders, the company would need a partner who shared our values and dedication to building a best in class leader in the industry,” said David Elberson, President of SCI. “Corridor has a demonstrated commitment to investing in and supporting small market leaders like SCI in their pursuit of growth and institutional excellence. In partnership with Corridor, we expect to invest in the people, product offering and infrastructure necessary to further enhance our ability to serve existing customers and rapidly reach new customers in Michigan and throughout the Midwest.”
© 2013 PEPD • Private Equity’s Leading News Magazine • 12-5-13