Palladium Equity Partners Completes Acquisition of Capital Contractors, Inc.
NEW YORK, Sept. 21 /PRNewswire/ -- Palladium Equity Partners, LLC and its affiliates ("Palladium") announced today that it has advised Palladium Equity Partners III, L.P. ("Fund III") on the acquisition of Capital Contractors, Inc. and its affiliates ("CCI" or the "Company") in partnership with Dennis Kaplan, the Company's President and Chief Operating Officer. Based in Melville, New York, CCI is one of the largest privately held providers of janitorial and facilities maintenance services in North America. The transaction terms were not disclosed.
CCI offers a comprehensive range of cleaning and maintenance solutions to thousands of facilities throughout the U.S., Canada and Puerto Rico. With the resources of a large firm and the benefits of a local office network from coast to coast, the Company's customers range from Fortune 500 companies with hundreds of locations throughout the country to local single-location start-ups. Founded and privately held since 1932, CCI specializes in simplifying the lives of its customers with cost-effective and complete cleaning and maintenance solutions, including recently expanded facility maintenance capabilities.
Erik Scott, Principal of Palladium, said, "CCI is well known by its customers for providing high quality support and responsive customer service at a competitive price for over 75 years. With its network of offices throughout the U.S. and Canada, the Company is well-positioned to manage large-scale national accounts through a single point of contact, while also serving local businesses with its local knowledge and expertise. We see significant long-term growth potential for a proven, cost-effective provider like CCI, particularly given promising industry trends in outsourcing and vendor consolidation."
Mr. Scott continued, "We look forward to partnering with Dennis Kaplan and his management team to continue the Company's growth, including enhanced service offerings, expanded industry specializations and continued focus on top-notch customer service."
Dennis Kaplan, President of CCI, stated, "I am extremely pleased to be working with Palladium, a firm with a strong track record as an investor and many years of experience helping companies grow. We believe we are very well-positioned to serve large national customers and local businesses, and with expanded capabilities we look forward to working with current and prospective customers to meet all of their cleaning and facilities needs."
Fund III provided both equity and debt financing for the transaction and Palladium will have three representatives joining the Company's Board of Directors including Mr. Scott, David Perez and Justin Green. The Company will continue to be run by Dennis Kaplan, who has maintained a meaningful ownership stake in the Company.
About Capital Contractors, Inc. (www.capitalcontractors.com)
Capital Contractors, Inc. and its affiliates ("CCI"), is one of the largest privately held providers of janitorial and facilities maintenance services in North America. With offices throughout the U.S. and Canada, CCI maintains thousands of facilities and has been successfully serving customers for more than 75 years.
About Palladium Equity Partners (www.palladiumequity.com)
Palladium Equity Partners, LLC, along with its affiliates ("Palladium") targets investments in business services companies as well as in financial services, consumer/retail, food/restaurants, healthcare, manufacturing and media businesses. Palladium has a focus on companies that are well-positioned to capitalize on the fast-growing U.S. Hispanic market. The principals of Palladium have directed investments of over $2.5 billion of equity in more than 65 portfolio companies over the last two decades.
Contacts: David Lilly / Lyndsey Estin Kekst and Company (212) 521-4800
SOURCE Palladium Equity Partners, LLC