AV Capital, an Austin private equity firm that just launched, has invested in Kovach Building Enclosures. Financial terms weren’t announced. ORIX Mezzanine & Private Equity also invested equity in Kovach. AV Capital is owned and managed by Vernon Bryant, Dave Alter and Scott Donaldson. Chandler, Arizona-based Kovach designs, makes and installs panel and glazing systems for commercial building enclosures.
AUSTIN, Texas—January 13, 2016—AV Capital, an Austin, Texas-based private equity firm that partners with entrepreneurial middle market companies as the first-time institutional investor, formally launched today and simultaneously announced its investment in and partnership with Kovach Building Enclosures. Participating in the equity of the Kovach investment with AV Capital was ORIX Mezzanine & Private Equity.
Founded by the former leaders of the Middle Market investment practice at Austin Ventures, AV Capital is owned and managed by Vernon Bryant, Dave Alter, and Scott Donaldson. The AV Capital team has worked together for more than 8 years while at Austin Ventures and TGF Management, has deployed in excess of $550 million of equity capital in 11 platform companies, and is supported by an experienced group of investors that includes Austin Ventures founders Joe Aragona and Ken DeAngelis, and TGF Management founder Jim Kozlowski.
“We are excited to formally announce the launch of AV Capital, which targets the unique needs of closely-held businesses that are operated by talented management teams with a clear vision for growth,” said Vernon Bryant, Managing Partner at AV Capital. “As a company’s first-time institutional investor, we understand how to partner with our management teams to help realize the full potential of their companies. We look forward to applying our proven and consistent approach to investing in middle market companies not only in Texas, but across the broader United States.”
AV Capital seeks to invest $15 million to $75 million of equity capital in companies with $20 million to $250 million in revenue and $5 million to $25 million of EBITDA. The AV Capital team has significant experience across a broad range of industries, including construction and infrastructure services, industrial and energy services, business and healthcare services, and light manufacturing and distribution. The firm excels in ‘right-fit partner’ situations that align with its extensive experience partnering with management teams in closely-held companies to transition to institutional ownership and accelerate growth, both organically and through acquisition.
Kovach Building Enclosures
Based in Chandler, Arizona, Kovach is one the nation’s largest integrated designers, manufacturers, and installers of high quality panel and glazing systems for commercial building enclosures. As a leading provider of customized building enclosure solutions, Kovach offers a complete line of services to meet the most demanding design applications for unique and complex building projects in the higher education, healthcare, municipal, commercial, sports arena, and airport end markets.
“We are thrilled to invest in Kovach and complete this significant transaction on an accelerated timeline, while simultaneously launching AV Capital,” said Dave Alter, Partner at AV Capital. “Kovach is an impressive company that fits squarely within AV Capital’s strategy of partnering with talented management teams to transition well-run middle market companies to institutional ownership and drive growth. We are proud to partner with CEO Scott Bourdo and President Stephen Kovach V at an important inflection point in the company’s history, and to provide strategic and financial resources in support of management’s long term vision for redefining the building enclosure market on a national scale.”
Kovach Chief Executive Officer Scott Bourdo commented, “We were impressed with the AV Capital team. Kovach has a relationship-oriented culture, a passion for innovation, and a focus on providing quality products and services to our clients. AV Capital’s team has a like-minded approach to partnership, a genuine respect and appreciation for our culture, and an impressive track record of success in supporting entrepreneurs to build category-defining companies.”
Kovach President Stephen Kovach V added, “We are in our 47th year of business and feel like it’s just the beginning of our growth story. AV Capital understands the collaborative nature of our business and has embraced our vision to make Kovach a total solutions provider in the commercial building envelope space. We’re proud to partner with a firm that has a focus on taking businesses like ours to the next level.”
About AV Capital
AV Capital is an Austin-based private equity firm that makes control investments in entrepreneurial middle market companies as the first-time institutional investor. AV Capital is focused exclusively on partnering with talented management teams to transition closely-held middle market companies to institutional ownership and accelerate growth. As relationship-oriented investors, AV Capital brings a patient approach and a long term investment perspective to building market leading companies. Business owners have chosen to partner with AV Capital because of its strong values and culture, its extensive investment experience and network of relationships, and its history of success in supporting the vision of entrepreneurial management teams. For further information about AV Capital, please visit www.av.capital.
About ORIX Mezzanine & Private Equity
ORIX Mezzanine & Private Equity offers a variety of junior debt and equity financing options for lower mid- to middle-market companies throughout North America. Typical investments range from $10 million to $30 million, with the capacity to grow. Investments are in a wide variety of industries and transaction types including buyouts and acquisitions, growth financings, recapitalizations and special situations. Investing the firm’s own proprietary capital has allowed for a flexible and long term approach to investments that are often not afforded by traditional investment firms. ORIX Mezzanine & Private Equity is a business unit of ORIX USA (www.orix.com), a Dallas-based financial services firm known for providing innovative capital solutions that clients need to propel their business to the next level. With more than 500 employees spanning 20 offices across the U.S. and Brazil, ORIX USA and its family of companies hold $6 billion of assets and manage an additional $29 billion, approximately. Its parent company, ORIX Corporation, is a Tokyo-based, publicly owned international financial services company with operations in 36 countries and regions worldwide. ORIX Corporation is listed on the Tokyo (8591) and New York Stock Exchanges (IX). For more information on ORIX Mezzanine & Private Equity, visitwww.orixmpe.com.