- The deal is expected to close in the fourth quarter of this year
- Authority Brands’ companies include home service franchisors, such as America’s Swimming Pool Company, Benjamin Franklin Plumbing, The Cleaning Authority and Color World Painting
- Apax initially invested in 2018
British Columbia Investment Management Corp has acquired a significant minority stake in Authority Brands, a Columbia, Maryland-based residential services franchising platform. Apax Partners will retain its ownership majority stake.
No financial terms were disclosed. The deal is expected to close in the fourth quarter of this year.
Authority Brands is a home service franchisor in North America. Its family of brands include America’s Swimming Pool Company, Benjamin Franklin Plumbing, The Cleaning Authority, Color World Painting, DoodyCalls, Homewatch CareGivers, Mister Sparky, Monster Tree Service, Mosquito Squad, One Hour Heating and Air Conditioning, STOP Restoration and Woofie’s. Together, these brands provide home services through approximately 860 franchise owners across North America.
Since the Apax Funds’ initial investment in 2018, Authority Brands has grown from two home service franchisors to the current 12.
“We are proud to have partnered with the Authority Brands team to help build, both organically and through strategic acquisitions, a leading residential services franchising platform,” said Ashish Karandikar, a partner at Apax, in a statement. “We continue to see significant room for growth by Authority Brands and are pleased to join with BCI and members of the leadership team in the next phase of the company’s journey as they extend their platform through M&A, and strategic initiatives including franchise development, technology transformation and international expansion.”
Apax was advised by Harris Williams, Boxwood Partners, William Blair & Company, Moelis & Company (financial advisors), Kirkland & Ellis, Simpson Thacher & Bartlett, DLA Piper, and Lathrop GPM (legal counsel), and Ernst & Young (financial and tax advisor).
BCI’s private equity program actively manages a C$24.8 billion global portfolio of privately held companies and funds with long-term growth potential.
Apax has raised and advised funds with aggregate commitments of more than $60 billion.