Soundcore Capital Partners LLC has acquired Los Angeles-based PumpMan Inc, a provider of pump system maintenance, repair and new system installation. No financial terms were disclosed. Kirkland & Ellis LLP advised Soundcore on the transaction.
NEW YORK—September 19, 2016—Soundcore Capital Partners, LLC (“Soundcore”), a control-oriented, New York-based private equity firm that invests in lower middle market businesses, today announced that it has completed the acquisition of PumpMan, Inc. (or “the Company”), a leading provider of pump system maintenance, repair and new system installation. This is Soundcore’s second platform investment and its first of 2016. Terms of the private transaction were not disclosed.
Los-Angeles-based PumpMan was founded in 1976, and serves more than 2,700 customers in the municipal, commercial, industrial and residential markets across Southern California. The pump services industry is comprised of an estimated more than 3,000 “mom and pop” businesses who together account for more than $3.3 billion in annual revenue.
“This acquisition of PumpMan follows our playbook of pursuing a buy-and-build strategy within fragmented industries,” said Jarrett Turner, Managing Partner of Soundcore.
“After identifying the pump maintenance sector as a target for investment, we spoke with more than 1,000 companies and selected PumpMan for its market knowledge, service quality and systems, and focus on the end user customer,” said Feliks Zarotsky, Managing Partner at Soundcore. “Moreover, the entire team at PumpMan is excited about building on its success and growing the Company.”
On closing of the transaction, Don Devine was named new CEO of PumpMan. He brings more than 25 years of leadership experience at global corporations, and deep expertise integrating strategic acquisitions to drive growth. Immediately prior to joining PumpMan, Devine was CEO at World and Main, an omni-channel distributor of home, hardware and building supply products. Devine previously held CEO positions at Custom Building Products and American Standard, and was President and Chief Operating Officer of Jacuzzi Brands.
“Having spent the better part of my career running large, global businesses, it is very exciting to get in on the ground floor with a business like PumpMan,” said Devine. “I spent the past six months working with Jarrett, Feliks and the Soundcore team to identify the right business to invest in, and now it’s time to put our plan to work.”
PumpMan founder Eric Skjarstad will continue in his role as President.
“I’m very proud of the business we built over 40 years and am excited for PumpMan’s future under its new ownership,” said Skjarstad. “I know that with Soundcore and Don Devine, the Company is in great hands.”
Devine, along with Turner and Zarotsky join the PumpMan Board of Directors.
Soundcore was advised by Kirkland & Ellis LLP.
About Soundcore Capital Partners
Soundcore Capital Partners, founded in 2015, is a New York City-based private investment firm specializing in control equity investments and leveraged buyouts of lower middle market North American (US or Canada) headquartered businesses that have proven franchises. The firm partners with exceptional management teams and seeks to make operational improvements, internal growth initiatives, and strategic acquisitions. Soundcore is particularly interested in businesses whose management team members and/or selling shareholders wish to have a meaningful ownership stake in the newly acquired enterprise. The firm focuses on proprietary deal sourcing through industry relationships and investment brokers rather than traditional bank auction processes. For additional information on Soundcore Capital Partners, please visit www.soundcorecap.com
Since 1976, PumpMan has provided Pump System Maintenance, In Shop/Onsite Repairs and Field Services to municipal, commercial, industrial and residential customers. PumpMan has experienced, factory trained mechanics and a state of the art machine shop, and technicians that are Confined Space Certified for more challenging repairs. To make sure pump systems continue to be reliable and efficient, PumpMan offers Planned Maintenance Programs. For more information, visit www.pumpman.com