Soundcore Capital Partners has beefed up its Alloy Wheel Repair Specialists‘ platform with three add-on acquisitions. The lower middle market private equity firm acquired AWRS franchises in Atlanta, Baltimore and Indianapolis. No financial terms were disclosed. Norcross, Georgia-based AWRS is a wheel repair and replacement company.
NEW YORK—January 6, 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 three add-on acquisitions to its portfolio company Alloy Wheel Repair Specialists (“AWRS” or “the Company”), less than two months after purchasing the Company. The acquisitions of the Atlanta, Baltimore, and Indianapolis AWRS franchises represent an additional $9 million in annual sales, serving nearly 800 major dealers and auto repair shops.
“We were pleased to begin executing on our original investment thesis of completing accretive add-on acquisitions quickly, at attractive valuations, by closing on three companies in December,” said Jarrett Turner, Managing Partner of Soundcore. “We anticipate acquiring a significant number of additional franchises in the first quarter, and throughout 2016, as we continue consolidating this sector by acquiring healthy, cash generating businesses. We will continue to leverage the talent and experience of retained management while still creating value by both eliminating redundancies and deploying strategic capital.”
Norcross, Ga.-based Alloy provides on-site repair of cosmetic damage to alloy wheel cores, off-site remanufacturing of structurally damaged wheels, and OEM replacement parts through a strong retail network. Today, wheel repair accounts for more than $750 million in annual revenues in the U.S. alone.
Soundcore sees tremendous potential to capture revenue by bringing a new level of professionalism to this fragmented industry, and strengthening the market-leading AWRS brand through an expanded range of services.
“I’m very pleased to kick off this new era for the Company with the acquisition of three of the best-performing businesses in the AWRS network,” said Rob Wheeley, newly appointed CEO of AWRS. “As we bring more operations under the AWRS corporate banner, we’re confident that we will be able to enhance both the service we deliver to customers and the financial performance of the business.”
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 to create long-term value for investors through a combination of 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
About Alloy Wheel Repair Specialists
Alloy Wheel Repair Specialists, founded in 2001 in Atlanta, Georgia, has grown into the world’s largest full-service alloy wheel repair and replacement company. Our business consists of hundreds of professional, experienced, operators and technicians who provide expert wheel repair and replacement around the globe. Alloy and its franchisees currently operate in 47 states and 15 countries, and the company is rapidly expanding its geographical footprint domestically and internationally to meet the growing demand for full-service alloy wheel repair services. For more information, visit http://www.awrswheelrepair.com