Prospect Partners Sells Tender Corporation
Prospect Partners has sold its interest in Tender Corporation (Tender), of Littleton, N.H., to Victor Capital Partners.
A leading player in the recreational outdoor products market, Tender develops, manufactures, and sells essential personal care, survival, and first aid products under a portfolio of niche, premium brands, including AfterBite®, the best-selling bite treatment in North America; Ben's® and Natrapel®, both top-selling insect repellents; The Itch Eraser®, a new itch relief offering; and Adventure Medical Kits®, the market leader in outdoor-focused first aid.
"Tender has been a successful investment for Prospect Partners, delivering consistent top-line growth across all of its core brands and channels," said Brad O'Dell, a principal of Prospect Partners. "With well-recognized brands consumers trust, strong distribution, and its focus on product innovation, Tender is well-positioned for continued growth with its new capital partner."
Tender's products are sold in more than 40 countries worldwide at over 35,000 retail locations, including food, drug and mass merchandisers, outdoor and sporting goods stores, and promotional product distributors. Jason Cartwright, Tender's CEO since 2000, will continue to run the company and remain a meaningful shareholder.
"It has been a pleasure working with Jason and his management team," said Rick Tuttle, a founding principal of Prospect Partners. "They built the company into the clear market leader for outdoor health and safety products and created a loyal following of passionate outdoor enthusiasts who are vocal advocates for the Tender brands."
Added Tender's CEO Cartwright, "Prospect Partners was an excellent partner throughout our tenure together. The team supported our vision and our growth strategy, which included multiple acquisitions, a state-of-the-art new 117,000-square-foot facility, and significant investment in brand development and marketing. We are excited to continue to further build the Tender platform in the years to come."
To discuss related opportunities, please contact Brad O'Dell or Rick Tuttle.
Prospect Partners Sells Innovetive Petcare
Prospect Partners has sold its interest in Innovetive Petcare, of Cedar Park, Texas, to Metalmark Capital. Innovetive Petcare, an operator of veterinary hospitals for companion animals, had been a portfolio company of Prospect Partners' third fund, Prospect Partners III, L.P., since 2015.
Innovetive Petcare was formed by Prospect Partners and two outside operating executives, animal health industry veterans Mark Ziller and Paul Covill, to acquire and operate specialty/emergency and general practice veterinary clinics throughout the Southeast and Texas. The company provides a suite of professional back-end business management services to support clinic operations and growth, allowing veterinarians and their staff to focus on implementing the best practices in management and animal care.
"Innovetive Petcare is an exciting player in the fast-growing veterinary care industry," said Brad O'Dell, a principal of Prospect Partners. "In less than four years, the company created a strong and scalable buy-and-build platform poised for long-term growth in an attractive market. It acquired well-respected practices, expanded service offerings and capacity, provided extensive back-office support, and made key management hires."
Innovetive Petcare now operates 13 clinics in five states, having successfully completed eight acquisitions, opened two new clinic locations, built a talented corporate management team, and launched a continuous learning platform for recruitment and training. That executive team remains fully in place following the sale transaction.
"We have been fortunate to work with Innovetive Petcare's deeply experienced and passionate operating team to support the achievement of significant growth initiatives, which resulted in strong performance for the company," said Rick Tuttle, a founding principal of Prospect Partners.
"From Day One, Prospect Partners trusted in our vision and ability to develop a premier veterinary hospital network," said Mark Ziller, Innovetive Petcare's President and CEO. "They supported us every step of the way as a true partner that provided the financial and strategic support we needed to successfully acquire our initial clinics, invest in their growth, and create a great business and strong brand. We look forward to continuing our platform's growth uninterrupted with our new investor-partners."
To discuss related opportunities, please contact Brad O'Dell or Rick Tuttle.
Prospect Partners Sells Owen Equipment Company
Prospect Partners has sold its interest in Owen Equipment Company ("Owen"), of Portland, Ore., to an affiliate of private equity firm CenterGate Capital. Owen, a leading provider of infrastructure maintenance equipment in the western United States, had been a portfolio company of Prospect Partners' third fund, Prospect Partners III, L.P., since 2013.
Owen is one of the top North American dealers of both new and pre-owned high-performance industrial environmental equipment used for street cleaning, waste management, sewer maintenance, and hydro-excavation. In recent years, Owen — which serves municipal, governmental, industrial, and commercial customers in six western states — has expanded its geographic reach, added new capabilities and product lines, and entered new market segments. Now one of the largest players in the vacuum truck/sweeper municipal rental market, Owen maintains a sizable rental fleet of Federal Signal Corporation's Elgin® and Vactor® products and offers other high-quality equipment brands such as Heil®, Rigid®, Cues®, and Sonetics®. Owen also performs equipment service and maintenance for its customers at its four locations in Fairfield, Calif., Portland, Ore., Salt Lake City, Utah, and Kent, Wash.
"Owen is a high-growth leader in the critical infrastructure market," said Brett Holcomb, a principal of Prospect Partners. "Over the last five years, Owen significantly grew the size of its rental fleet, completed an important strategic acquisition, introduced new products, and reached new customers in more western markets."
Added Lou Kenter, a founding principal of Prospect Partners: "During our partnership, we have been honored to work alongside Owen's strong and visionary management team to accomplish many key strategic goals, which resulted in significant growth for the business. To be sure, Owen continues to be an exciting company with a lot of potential."
"Prospect Partners has been an outstanding partner," said Earl Rose, Owen's CEO. "They provided the experience and capital that allowed us to dramatically expand our rental fleet, dominate the municipal market, and develop new customers — all while maintaining our commitment to excellent customer service and strong vendor relationships."
To discuss related opportunities, please reach out to Lou Kenter or Brett Holcomb.
Prospect Partners Sells Water Co. Holding
Prospect Partners has sold its interest in Water Co. Holding, LLC ("WaterCo"), of Lombard, Ill., in partnership with management and co-investor Stone Pointe, LLC, to Culligan International Company ("Culligan").
WaterCo, an independent water solutions platform in the Culligan dealer network, offers a comprehensive suite of water-related products and services — including water equipment, bottled water, water treatment, and equipment installation, maintenance and repair — to residential and commercial accounts nationwide.
WaterCo is led by Don Fuller, President and CEO, and John Capone, COO, veteran Culligan operating executives, who formed the company in 2011 with Prospect Partners and Stone Point through the acquisitions of 11 corporate franchises from Culligan with the goal of building the company into Culligan's leading U.S. dealer.
During Prospect Partners' investment period, WaterCo successfully bought and integrated more than 20 add-on acquisitions of other Culligan franchises, independent water service dealers, and providers of commercial or industrial water purification services, expanding the company's geographic footprint, market reach, and bottled water delivery capabilities. WaterCo now operates with territory exclusivity in 36 locations in 13 states.
"WaterCo has been a strong and exciting growth story for Prospect Partners," said Lou Kenter, a Founding Principal of Prospect Partners. "WaterCo today is one of the largest and fastest growing dealers in the Culligan network, producing consistent, recurring top-line growth for corporate."
Added Stone Pointe Principal Lee Vandermyde: "Don and John built a top-notch operating team and did an excellent job integrating, professionalizing, and improving the performance of WaterCo's 20-plus acquisitions to create a highly respected, team-oriented company that prided itself on growth, best-in-class practices, and customer service."
Said WaterCo's Fuller: "We have deeply valued the strategic guidance both Prospect Partners and Stone Pointe have provided to help steer the company to a successful outcome. We look forward to continuing our relationship and growth under the Culligan brand."
To discuss related opportunities, please reach out to Lou Kenter or Mike McInerney.
Prospect Partners Announces Recapitalization of Minuteman Security Technologies
Prospect Partners is pleased to announce the recapitalization, in partnership with management, of Minuteman Security Technologies, Inc. (Minuteman), of Andover, Mass.
Minuteman, founded in 1988, provides security technology solutions to enterprise organizations in a variety of markets, including transportation, higher education, healthcare, industrial/commercial, and municipal. As an industry-leading security systems integrator, Minuteman partners with best-of-class manufacturers to design, install, and maintain complex security solutions for its customers. Its offering includes access control systems, video surveillance, emergency communications, intrusion detection systems, and public safety security solutions.
Long a top security system solutions provider in the New England region, Minuteman recently announced its national expansion, and now operates five regional offices. Joseph Lynch, CEO, and George Yannokopolous, President and COO, lead the company.
"Minuteman is a dominant niche systems integrator with a great brand name, exceptional product lines, and an excellent reputation for service quality," said Brett Holcomb, a Principal of Prospect Partners. "Over the years, the company has consistently been recognized for its services, innovation, and growth."
In 2017, Minuteman finished 38th in SDM magazine's annual ranking of the Top 100 Systems Integrators, climbing 15 positions from 53rd in 2016.
Going forward, Minuteman seeks to invest in add-on acquisitions of other security integrators that specialize in enterprise systems.
To discuss related investment opportunities, please reach out to Brett Holcomb or Lou Kenter.
Prospect Partners Builds New Platform in Commercial Landscaping Management Services
Prospect Partners is excited to announce the recapitalization, in partnership with management, of Bland Landscaping Company, Inc. (Bland Landscaping), of Apex, North Carolina.
Bland Landscaping is one of North Carolina's leading full-service providers of landscape design, installation, enhancement, and maintenance services for commercial properties and high-end residential estates. The company, established in 1976, primarily serves offices, hospitals, universities, municipalities, and homeowner associations.
Over the years, Bland Landscaping — whose in-house team of nearly 300 landscape experts includes professional turfgrass and horticulture managers, landscape designers, chemical technicians, and floriculturists — has developed a strong reputation for sustainability and excellence, earning more than 100 state and national awards for environmental improvement and landscape excellence. Second generation owners Kurt Bland, President and CEO, and Matt Bland, CFO and COO, lead the company.
"Bland Landscaping is a rapidly growing niche market leader long known for its superb commercial landscape maintenance and management services, innovation, commitment to the environment, and great customer relationships," said Erik Maurer, a Principal of Prospect Partners. "We look forward to supporting management as they continue to scale the company and expand its regional presence."
Going forward, Bland Landscaping seeks to invest in add-on acquisitions of well-respected, local providers of commercial landscape management services based in the Southeast and Mid-Atlantic states.
Bland Landscaping becomes Prospect Partners' 50th portfolio company overall, and the 14th in the firm's current fund, Prospect Partners III, L.P.
To discuss related investment opportunities, please reach out to Erik Maurer or Brad O'Dell.