Ecolab has agreed to sell its equipment care business to Audax Private Equity. Ecolab acquired its equipment care business through the 1998 acquisition of GCS Service.
Ecolab’s equipment care business (ECB) specializes in commercial kitchen equipment repairs and maintenance across the United States and offers the largest warranty services network in the industry covering over 300 OEM brands. Customers include full-service restaurants, quick-service restaurants, hospitality providers, food retailers, institutions and healthcare facilities. ECB services all types of commercial food service equipment including cooking, refrigeration, warewashing, beverage, holding and preparation appliances and is active with its customers from equipment installation to disposal. The business utilizes a parts stocking program from both its trucks and distribution centers and carries over 25,000 parts from more than 100 manufacturers, including thermocouples, switches, water filters, gas hoses, oven knobs, thermostats and contactors.
In 2016, ECB had total revenues of $180 million. ECB is headquartered in St. Paul and has locations in Norcross, GA; Columbus, OH; Dallas and Fort Worth, TX; Hartford, CT; Indianapolis, IN; Louisville, KT; Miami and Tampa, FL; Minnetonka, MN; and Nashville, TN (www.equipmentcare.com).
Audax Group makes control investments of $10 million to $100 million in middle market companies with transaction values of $25 million to $500 million. Sectors of interest include industrial manufacturing; energy; outsourced industrial services; consumer products; healthcare devices and services; non-asset based logistics; technology; aerospace & defense; business services; and direct marketing. The firm was founded in 1999 and has offices in Boston, New York and Menlo Park (www.audaxgroup.com).
“This sale enables us to sharpen our strategic focus on our core businesses, while assuring ECB customers will receive excellent ongoing service. In addition, our ECB colleagues will benefit from Audax’s focus on the business and will have access to resources that will support future growth,” said Ecolab Chairman and Chief Executive Officer Douglas Baker, Jr.
Ecolab is a provider of water, hygiene and energy technologies and services. The company’s products and services are used to promote safe food, maintain clean environments, optimize water and energy use and improve operational efficiencies for customers in the food, healthcare, energy, hospitality and industrial markets. Ecolab had total revenues in 2016 of $13 billion. The company has more than 48,000 employees and is headquartered in St. Paul (www.ecolab.com).
© 2017 Private Equity Professional | October 13, 2017
