Webster Capital and Sorenson Capital Buy Bathroom Remodeler

Webster Capital and Sorenson Capital have acquired ReBath, a Tempe, Ariz.-based franchisor of residential bathroom remodeling services. Fifth Street Capital provided leveraged financing. No pricing terms were disclosed.


Webster Capital announces its investment in ReBath, the Arizona-based franchisor of residential bathroom remodeling services. Webster led the transaction and invited Sorenson Capital to join as an equity co-investor. Fifth Street Capital provided debt financing for the transaction.

Founded in 1979, ReBath was the first national franchisor to successfully provide one-stop turnkey bathroom remodeling services. ReBath oversees 226 franchises across the United States and internationally. With 211 domestic franchises, 14 international, and one master franchise relationship. The Company serves the residential markets in the U.S., Canada, the Bahamas, Bermuda, Puerto Rico, Trinidad, Belgium, the Netherlands, and Luxembourg. ReBath also serves the hotel refurbishment market installing branded bathtub liners, shower liners, and wall systems. ReBath’s brand recognition and favorable product mix uniquely position the Company to expand its brand and market reach across the U.S. and global markets.

Webster and Sorenson are seeking to capitalize on ReBath’s business opportunity by providing the Company access to a group of knowledgeable entrepreneurs and helping ReBath reach its full potential under the leadership of CEO Dave Sanders. ReBath represents Webster’s third franchise investment; the firm will leverage its deep industry experience in both the franchise and consumer markets to support ReBath. Webster is investing out of a $205 million fund and previous franchise investments include Comfort Keepers, a home health company, and Jan Pro Holdings, a provider of commercial cleaning services. Webster seeks to partner with businesses in the consumer, healthcare services, and business to business sectors.

“Webster Capital is delighted to partner with Sorenson Capital, David Sanders (CEO), and the rest of the senior management team for our investment in ReBath,” said David Malm, Partner of Webster Capital. “We believe that ReBath combines all aspects of what we look for in our investment strategy in that it has a strong leadership position in a large growing market segment, a strong brand name, and a demonstrated record of attractive historic growth and profitability with multiple avenues of growth ahead of it. We are hopeful that our expertise in both franchise and consumer businesses will enable us to assist management in an accelerated growth program moving forward.”

“It was evident at our very first meeting with Webster that they were the team we felt most comfortable with in the alignment of our future goals,” said Dave Sanders CEO ReBath. “Our executive team believes this partnership will propel ReBath to the worldwide leader in bathroom remodeling. This is obviously an exciting venture for ReBath and we are extremely pleased to be working with the Webster Capital and Sorenson Capital teams.”

”With the highly experienced executive team, led by ReBath CEO Dave Sanders, ReBath has a very bright future” said Matt Lehman, Managing Director of Sorenson Capital. “We believe the combination of Webster’s franchise expertise, the talented ReBath executive team, and Sorenson’s manufacturing focus will make for a great partnership.”

About Webster Capital

Founded in 2002, Webster Capital is a private equity partnership with over $200 million in capital under management which invests in branded consumer, business to business, and healthcare services companies. Webster Capital focuses on companies with EBITDA between $3-15 million and transaction values less than $100 million. Webster Capital provides equity financing, expertise and a broad contact network for management buyouts and growth capital. For additional information on Webster Capital please visit www.webstercapital.com.

About Sorenson Capital

Sorenson Capital is a private equity firm headquartered in Salt Lake City, Utah with over $650 million of capital under management. The firm provides small to middle-market buyout and growth equity investments, with a particular focus on opportunities in selected states in the Mountain and Western regions of the United States. Sorenson invests in companies that have superior management teams, established strategic positions and attractive industry dynamics. For additional information on Sorenson Capital please visit www.sorensoncapital.com.

About ReBath

Headquartered near Phoenix, Arizona, ReBath manufactures and installs bathtub liners, wall systems, shower liners, and vanity tops in hotels and residential bathrooms across the U.S. and internationally. The company began operations in 1979. ReBath sells its products to residential customers through a network of franchisees and was ranked #1 in its category by Entrepreneur’s Franchise 500 listing. ReBath also controls an estimated 80% of the hotel bathroom liner retrofit industry. For additional information on ReBath please visit www.rebath.com.