LARCHMONT, N.Y., April 26, 2022 /PRNewswire/ — New State Capital Partners (“New State”) announced today it acquired a majority stake in Patuxent Roofing & Contracting, Inc. (“Patuxent” or the “Company”), a leading independent provider of re-roofing installation and services. New State is partnering with current owner and CEO Mike Gowl, who will remain with the Company and retain a significant equity stake. Terms of the transaction were not disclosed.
Headquartered in Laurel, MD, with operations across the mid-Atlantic region, Patuxent primarily focuses on re-roofing services to hospitals, schools, government buildings, and other high-end facilities that are subject to complex bid procedures and require operational specialization.
“We are excited to invest in a premier player in institutional and commercial re-roofing services,” said Kurt Lentz, Senior Principal at New State. “We were attracted to Patuxent given its recurring revenue customer profile, proven stability through economic cycles, and abundant growth opportunities. We look forward to working with Mike and his team to continue to accelerate the Company’s growth.”
Shaun Vasavada, Vice President at New State added, “Together with management, we intend to explore strategic acquisitions targeted at geographic expansion as well as complementary building maintenance, repair, and renovation services. We look forward to building on Patuxent’s legacy of excellence.”
“I am grateful to have found a knowledgeable, trusted partner,” said Mr. Gowl. “New State’s deep understanding of our business, operational support, and financial resources will prove invaluable as Patuxent executes on its next phase of growth. I am confident of a bright future for our company.”
The acquisition of Patuxent marks New State’s fourth deal in five months and the third platform investment in New State Capital Partners Fund III, LP, which was raised and activated last year.
Morgan, Lewis & Bockius acted as legal advisors and Citizens Bank and Piper Sandler provided financial advisory services to New State. KPMG acted as financial advisor for the Company.
Patuxent Roofing & Contracting, Inc. (“Patuxent” or the “Company”) is a leading independent provider of roofing installation, waterproofing, and related services. Founded in 2008, the Company primarily focuses on re-roofing services for government, institutional, industrial, and multi-family end markets located in the Mid-Atlantic region of the United States. Visit www.patuxentroofing.com.
About New State Capital Partners
New State Capital Partners LLC is an entrepreneurial-minded private equity firm that strives to be nimble, decisive, and cooperative. New State prides itself on a long-term outlook, approaching each potential investment as an opportunity to create lasting and valuable relationships with company founders and especially independent sponsors. The firm has the ability to invest up to $100 million in equity per transaction and seeks to invest in market-leading companies with $8 million to $40 million of EBITDA in the areas of business services, industrials, and consumer. New State and its affiliates have invested in more than 30 companies to date. For more information visit www.newstatecp.com.
Lambert & Co.
Joanne Lessner, [email protected], 212-222-7436
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SOURCE New State Capital Partners