Warburg Pincus has agreed to acquire Cleveland-based Sweeping Corp of America, a power sweeping company, from Soundcore Capital Partners. No financial terms were disclosed.
CLEVELAND, Nov. 3, 2020 /PRNewswire/ — Sweeping Corp of America (“SCA”), the largest power sweeping company in the United States, today announced that Warburg Pincus, a leading global private equity firm focused on growth investing, has entered into an agreement to acquire the company from the previous investor, Soundcore Capital Partners.
Financial terms of the transaction were not disclosed. The investment will allow SCA to accelerate its sales and marketing efforts and help the company identify strategic relationships and acquisition opportunities.
With over 1,000 employees in its 35 locations throughout the eastern half of the United States, the company’s key services include street and highway sweeping, parking lot sweeping, and jet vac services. Customers served include municipalities, state departments of transportation, commercial, infrastructure, and construction clients.
“As a leading growth investor, Warburg Pincus has a strong history in partnering and developing high quality, category-defining businesses. As the only provider with significant scale and a growing national presence, this partnership will enable us to further expand service capacity, fuel continued innovation in our complimentary services, and support key growth initiatives, with a focus on strategic acquisitions,” said Christopher Valerian, President & CEO, SCA. “We would also like to thank our partners at Soundcore Capital Partners for their valuable contributions and strategic insight over the years.”
Warburg Pincus has been a long-time, active investor in the industrial and business services sector, with significant experience investing in outsourced services and supply chain and logistics companies, including, Allied Universal, ARAMARK, Sotera Health, Labstat International, Coyote Logistics, New Breed Logistics, and Service Logic.
“As a clear market leader with a proven acquisition platform within the street sweeping industry, SCA is a strong fit for our portfolio, and we believe there is a significant opportunity to retain and further grow its market leading position. Our investment demonstrates Warburg Pincus’ ongoing commitment to backing leading companies that provide mission critical services and are positioned to capitalize on an underpenetrated market opportunity,” said Stephanie Geveda, Managing Director at Warburg Pincus. “We believe there is significant opportunity for growth within the outsourced services sector, and when paired with Christopher and the management team’s impressive track record, the synergy will create an exciting partnership.”
Headquartered in Cleveland, OH, SCA is the largest power sweeping services company in the United States. SCA self-performs power sweeping for highways, streets, industrial and commercial applications for both private and government entities. For more information on SCA, please visit www.sweepingcorp.com.
About Soundcore Capital Partners
Soundcore Capital Partners is a private investment firm focused on control equity investments in lower middle market North American headquartered businesses. The firm partners with exceptional management teams and creates long-term value for investors through a combination of strategic acquisitions and organic growth initiatives. For additional information on Soundcore Capital Partners, please visit www.soundcorecap.com.
About Warburg Pincus
Warburg Pincus LLC is a leading global private equity firm focused on growth investing. The firm has more than $56 billion in private equity assets under management. The firm’s active portfolio of more than 190 companies is highly diversified by stage, sector, and geography. Warburg Pincus is an experienced partner to management teams seeking to build durable companies with sustainable value. Founded in 1966, Warburg Pincus has raised 19 private equity funds, which have invested more than $86 billion in over 910 companies in more than 40 countries. The firm is headquartered in New York with offices in Amsterdam, Beijing, Berlin, Hong Kong, Houston, London, Luxembourg, Mumbai, Mauritius, San Francisco, São Paulo, Shanghai, and Singapore. For more information please visit www.warburgpincus.com.