KKR to buy A1 Garage Door Service for around $2B
What's the deal? KKR & Co has agreed to acquire A1 Garage Door ServiceDealroom has a profile for this one. Try Dealroom →, a residential garage door repair and replacement company, for around $2 billion, according to sources familiar with the matter.
Who's involved? Phoenix, Arizona-based A1 Garage was founded in 2007 by chief executive officer Tommy Mello, who grew it into one of the largest residential garage door providers in the US, operating in around 20 states. In 2022, it received growth capital from private equity firm Cortec GroupDealroom has a profile for this one. Try Dealroom →.
What's the endgame? KKR already has a foothold in residential services. It bought Neighborly — a franchiser of home service brands spanning plumbing, pest control, electrical, and HVAC — in 2021, and made a significant investment in GroundworksDealroom has a profile for this one. Try Dealroom →, a foundation and water management firm, in 2023.
Cortec is also an investor in Groundworks. KKR and Cortec declined to comment; A1 Garage could not be reached.
Why now? The deal adds to a wave of home services M&A, including Oak Hill CapitalDealroom has a profile for this one. Try Dealroom →'s $800 million-plus acquisition of Guild Garage GroupDealroom has a profile for this one. Try Dealroom → this year.
The signal: Private equity firms have been buying up residential services companies for their steady cash flows and high values in fragmented markets — and KKR is doubling down on the theme.
Read more: thenewstribune.com
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