PE Weekly: Business Services, Healthcare Drive M&A Influx

Middle-market dealmaking appears to be off to a strong start in the new year, with business services continuing its streak for private equity investors. Elsewhere, healthcare has secured some renewed attention in this week’s roundup of the latest deals. Read more below.

Platform Investments

Braemont Capital Invests in TEC Services. Janitorial and sanitation service provider TEC Services has received an investment from Braemont Capital, according to an announcement. Support from Braemont will help TEC expand through both organic growth initiatives and strategic acquisitions.

Berkshire Partners, Court Square Capital Back Thrive. Thrive, which providers cybersecurity, cloud and IT managed services, announced it received a strategic investment from Berkshire Partners as well as from existing backer Court Square Capital Partners. Founding investor MC Partners will sell its remaining stake in the company, a press release said.

Verde Equity Acquires Chula Vista Landscaping Business. Verde Equity Partners announced this week its acquisition of Chula Vista Commercial Landscaping. The investment marks Verde’s first expansion into Arizona as it looks to broaden its portfolio footprint in the Southwest. Chula Vista Commercial Landscaping services corporate campuses, retail centers and other commercial customers.

Ascend Capital Acquires Unison Therapy. Healthcare-focused private equity firm Ascent Capital Partners announced recently its acquisition of Unison Therapy Services. Unison is an outsourced therapy provider for Pre-K-through-12 students in school and community-based settings.

GTCR Invests in Winged Keel. Private equity firm GTCR announced a strategic investment in Winged Keel Group, a life insurance company specializing in intergenerational wealth accumulation and estate planning services. GTCR’s investment will support geographic expansion for the company as well as an enhancement of services provided to clients.

RF Investment Takes Majority Stake in Valley Vital. RF Investment Partners, a lower middle-market private capital firm, has announced its majority acquisition of Vally Infusion and Home Infusion Richmond, collectively known as Valley Vital. The Vital Care Infusion Services franchisee operates infusion therapy pharmacies across Virginia and West Virginia. The company will use the support to invest in additional services and introduce new infusion therapies as it expands geographically.

Harvest Partners Backs Alumni Staffing. Middle-market private equity firm Harvest Partners has announced its investment in Alumni Staffing via its Harvest Ascend strategy, which focuses on technology services investments the lower end of the middle market. Alumni Staffing offers staffing solutions and will use the backing to invest in technology and expand geographically.

Stellex Capital Acquires ICS Holding. Stellex Capital Management, a middle-market private equity firm, acquired Industrial Construction Services (ICS), a recent press release said. ICS provides electrical services across the industrial, food, heavy commercial healthcare, energy and power, and institutional sectors.

Add-Ons

Mill Rock’s Venture Metals Makes Two Acquisitions. Venture Metals, a sustainable metal recycling solution provider backed by Mill Rock Capital, has announced two acquisitions. The company acquired Thalheimer Brothers and Mega Metals, both of which process metal within the utilities, aerospace, construction and industrial sectors.

Comvest’s Bland Landscaping Acquires Koehn Outdoor. Commercial landscaping service provider Bland Landscaping has acquired Koehn Outdoor, according to a recent press release. Koehn provides landscaping services to homeowners associations and multifamily customers. Bland is a portfolio company of Comvest Private Equity.

Godspeed’s Crimson Phoenix Acquires Blackspoke. Crimson Phoenix, an AI-powered data labeling and geospatial intelligence solution provider, has acquired Blackspoke. The investment expands its market position and adds contracts with the National Geospatial Intelligence Agency and National Reconnaissance Office, an announcement noted. Crimson Phoenix is backed by Godspeed Capital Management.

Clearview Capital’s Capitol Imaging Acquires Houston MRI. Clearview Capital announced its acquisition of Houston MRI & Diagnostic Imaging by portfolio company Capitol Imaging Services. An announcement on the investment firm’s website said the transaction closed earlier this month. Houston MRI provides diagnostic imaging services across the Greater Houston area.

Strategics

Caine & Weiner, BARR Merge AR Businesses. Accounts receivable management firms Caine & Weiner (C&W) and BARR Credit Services have announced their merger this week, resulting in a single firm with six locations. The combined entity will offer an expanded suite of services that include collections, accounts receivable tools, credit services, legal support through an affiliate law firm and more. Corporate Advisory Solutions advised on the transaction.

Exits

Kohlberg Sells Minority Stake in GPRS to Roark Capital. Middle-market private equity firm Kohlberg has announced a partnership with private equity firm Roark Capital to support portfolio company GPRS, a subsurface damage prevention solution provider to utilities, contractors and businesses. Kohlberg, previously a majority owner in GPRS, will retain a minority stake in the company and partner with Roark to promote continued growth for the business.

Fundraising

Colbeck Raises $700 Million for Lending Fund. Colbeck Capital, a middle-market private credit firm, announced a $700 million fundraise for its third flagship fund. Colbeck Strategic Lending III exceeded its target by 40%, a press release said. The firm lends to unsponsored, asset-heavy and cash flow-generating middle-market businesses.

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