BOSTON, March 28, 2024 — Seacoast Capital (“Seacoast”), a lower-middle market non-control growth capital investor, announced today its recent investment in Groome Industrial Service Group (“Groome” or the “Company”), in support of the Company’s acquisition of W-S Companies (“W-S”).
Groome, headquartered in Denville, NJ, is a provider of specialty maintenance, cleaning and other industrial services to customers across the power generation, refinery, shipping, manufacturing and aviation end markets.
W-S, headquartered in Council Bluffs, IA, is one of the country’s largest veteran-operated industrial and mechanical services companies. W-S is comprised of eight operating entities and has offices throughout the Midwest and Gulf Coast, serving a diverse client base across a range of end markets, including power generation, food and beverage, refining, utilities, chemical, manufacturing, pulp and paper, municipal and upstream and downstream energy.
Seacoast provided Groome with a combination of subordinated debt and a preferred equity co-invest alongside a substantial investment from existing investors and Groome and W-S management.
Groome CEO Jeff Bause noted “We are excited for W-S to join the Groome Team, creating a bigger and better specialty maintenance company with an even stronger nationwide presence. Both companies provide a service mix that is complimentary to one another while also offering unique specialty services. This acquisition now gives Groome one of the broadest offerings in the industry.”
Jamie Donelan, a Partner at Seacoast, added “Our relationship with Groome dates back to 2019, which I think highlights the long-term, relationship-oriented approach that we take to our business development and investment partnerships in general – when the right situation arose, we were already in a position to help them execute.” further noting, “Ultimately the opportunity to support the Company in building one of the largest specialty industrial maintenance and cleaning platforms in the U.S. was very compelling to us.”
About Groome For over 50 years, Groome Industrial Service Group has provided specialty maintenance services nationwide for several industries including power generation, refinery, shipping, manufacturing and aviation. As a proven industry leader focused on the future, Groome's unique turnkey services reduce harmful emissions, improve plant performance and extend the life of valuable industrial equipment. Groome’s experienced in-house labor teams have helped to establish Groome as the maintenance provider of choice.
About Seacoast Capital
Founded in 1994, with offices in Boston, MA and San Francisco, CA, Seacoast Capital invests non-controlling capital in partnership with management in lower middle market private companies. Seacoast is industry agnostic and typically invests $5 million to $30 million of capital in companies with $10 million or more in revenue and $2 million or more of EBITDA. Capital is used to support growth, refinancings, acquisitions, family ownership and wealth transfers, shareholder liquidity events, and partnership or management buyouts. Geographically, Seacoast invests anywhere in the United States. Since its inception, Seacoast has managed over $1B of capital, which the firm has invested in 90+ transactions. Now managing its fifth fund, Seacoast continues to actively seek new investment opportunities. Learn more by visiting www.seacoastcapital.com. |
