American Residential Services, which is backed by CI Capital Partners, has acquired Brothers Air and Heat. In a second deal, American Residential has also bought Columbus/Worthington Air. Brothers Air serves Charlotte, N.C. while Columbus/Worthington Air targets Columbus. Financial terms of the deals were not announced. CI Capital is the former Caxton-Iseman Capital, of New York.
CI Capital Partners LLC (CI Capital), a New York-based private equity firm, announced today that its portfolio company American Residential Services L.L.C. (ARS), a national provider of emergency services for heating, ventilation, air conditioning, plumbing and energy efficiency systems and equipment, has completed two acquisitions to increase its penetration in the Charlotte, NC and Columbus, OH metropolitan markets.
ARS has concluded the purchase of Brothers Air and Heat (Brothers), a rapidly growing HVAC and plumbing company with revenues of almost $15 million, serving the Charlotte metropolitan area. ARS has also completed the purchase of Columbus/Worthington Air (CWA), a residential and light commercial HVAC contractor with revenues of almost $7.5 million, serving Columbus. Each company will continue to operate as a standalone business, with owners Roger and Donald Costner overseeing Brothers, and CWA under the guidance of its current General Manager Clint Schreck.
Thomas Ritchie, Managing Director at CI Capital said, “With the acquisitions of Brothers and CWA, ARS continues the successful implementation of its buy-and-build strategy in the residential services sector. Both the Charlotte and Columbus markets offer attractive business environments and enable ARS to enhance its regional footprint in these two highly desirable markets. We are very pleased to support ARS as it continues its successful expansion.”
David Slott, ARS President and Chief Operating Officer said, “We are very excited about teaming up with both Brothers and CWA and their first class management teams. Brothers is a rapidly growing business recognized as one of the top contractors to work for in the South, and CWA is a well run business that provides us an opportunistic HVAC geographic expansion into the state capital of Ohio. Together, these acquisitions are both strategic and highly complementary to our existing operations.”
About ARS/Rescue Rooter
ARS and Rescue Rooter are leading brands of American Residential Services L.L.C., providing emergency services across the United States for heating, ventilation, air conditioning, plumbing and energy efficiency systems and equipment. Based in Memphis, TN, American Residential Services L.L.C. has revenues of over $600 million and has approximately 4,000 employees.
ARS/Rescue Rooter operates a network of more than 65 company operated, locally managed service locations spanning 24 states and the District of Columbia. United by exceptional service, the ARS/Rescue Rooter Network serves both residential and light commercial customers through a knowledgeable team of trained specialists. Providing elevated service and ensuring the highest standards of quality, ARS/Rescue Rooter has the experience to do any job right – the first time.
American Residential Services L.L.C. is owned by investors including CI Capital Partners LLC and management. For more information about ARS/Rescue Rooter, visit www.ARS.com.
About CI Capital Partners
CI Capital Partners is a North American private equity firm focused on consolidations of leading middle market businesses. The firm targets industries that are ripe for consolidation and seeks to substantially scale businesses through organic growth and acquisitions. Since its founding in 1993, the firm and its portfolio companies have made over 95 acquisitions representing over $5 billion in enterprise value. CI Capital’s existing portfolio consists of companies which collectively generate annual revenue of approximately $4.0 billion, EBITDA of $350 million, and have more than 14,000 employees. To learn more about CI Capital Partners, please visit www.cicapllc.com.