Parkway Capital backs Davey Coach recapitalisation, funds Texas acquisition
What's the deal? Parkway CapitalDealroom has a profile for this one. Try Dealroom → has provided subordinated debt and equity to recapitalise Davey Coach HoldingsDealroom has a profile for this one. Try Dealroom →, a B2B dealer of small and mid-sized shuttle buses and vans. It made the investment alongside Northcreek MezzanineDealroom has a profile for this one. Try Dealroom → and Progress Equity PartnersDealroom has a profile for this one. Try Dealroom →.
What does Davey Coach do? Founded in 1992 in Denver, Colorado, the company sells new and used buses and offers rental and lease, parts, service, graphics, and customisation. It operates from locations in Colorado, California, and Indiana.
What's the endgame? As part of the transaction, Davey Coach acquired Hudson BusDealroom has a profile for this one. Try Dealroom →, a full-service dealership based in Texas. The deal extends the company's one-stop model into a new state.
Who's Parkway? Active since 2000, the mezzanine-focused firm provides junior capital to lower middle market companies. Its professionals have invested more than $560 million across 80-plus portfolio companies.
The signal: Debt-and-equity recapitalisations remain a favoured route for founder-owned businesses seeking growth capital without a full sale. By pairing junior capital with a bolt-on acquisition, the deal shows how lower middle market investors are backing regional consolidation in fragmented sectors like commercial vehicle dealerships.
Read more: parkwaycapital.com
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