Soundcore Capital Partners has sold American Restoration, a provider of property restoration services, to Morgan Stanley Capital Partners (MSCP).
American Restoration provides comprehensive water, fire, mold, and other related restoration and remediation services to commercial, industrial, and residential property customers across a multi-regional footprint.
Soundcore formed American Restoration as a holding company in December 2023 to consolidate its investments in eight companies: Wisconsin-based A&J Property Restoration (2019), North Carolina-based American Restoration Water & Fire (2019), Texas-based Cavalry Construction & Restoration (2019), Washington-based Charter Construction (2019), Georgia-based Paces Restoration (2019), Alaska-based Restore Restoration & Construction (2019), Alaska-based TCM Restoration & Cleaning (2021) and Utah-based Utah Disaster Kleenup (2021).
Today, Dallas-headquartered American Restoration operates through 20 locations across 10 states and is led by CEO Dan Tarantin.
“We are grateful for Soundcore’s support in the growth of American Restoration,” said Mr. Tarantin. “They have been a valuable, helpful, and trusted partner.”
“We are proud of the platform we built with Dan, the family-owned businesses we partnered with, and the entire American Restoration team,” said Jarrett Turner, the founder and managing partner of Soundcore. “During our ownership period, we achieved impressive growth through Soundcore’s data driven processes, commitment to continuous improvement and value creation, deal execution, and our intense focus on thorough integration, alongside of the management team. We are grateful for their partnership and wish them continued success in their next phase of growth.”
New York City-headquartered 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. Soundcore was founded in 2015 and has completed 93 acquisitions across 11 platforms.
The acquisition of American Restoration represents MSCP’s fifth residential and commercial services investment following the buys of Sila Heating & Air Conditioning (2021 – 2023), Fairway Lawns (2023), Allstar Services (2023) and RowCal (2023).
“We are excited to partner with Dan and the American Restoration team as they continue building a best-in-class platform across the residential and commercial restoration space,” said Adam Shaw, a managing director and head of business services at MSCP. “American Restoration represents our continued effort to invest in high-quality residential and commercial services companies, a sector in which we have deep institutional knowledge and expertise building industry-leading platforms. We look forward to working together to continue accelerating the company’s exciting growth trajectory.”
MSCP is the middle-market-focused private equity business of Morgan Stanley Investment Management which in turn is part of Morgan Stanley, a financial services firm providing investment banking, securities, wealth management, and investment management services. MSCP invests in North American-based companies that are active in the business services, consumer, healthcare and industrial markets.
Robert W. Baird & Co. was the financial advisor on this transaction to both Soundcore and American Restoration. Harris Williams and Stephens Inc. were the financial advisors to MSCP.
© 2024 Private Equity Professional | August 2, 2024
