Exclusive: Cortec to launch sale process for A1 Garage Door Service, sources say
Cortec Group is in the pre-stages of a sale process for A1 Garage Door Service, a 2019 portfolio company that provides residential garage door maintenance services, three sources briefed on the matter told PE Hub.
A1 Garage Door, headquartered in Phoenix, is working with Piper Sandler as its sellside adviser for a sale process expected to come later this year, the sources said.
The service provider generated about $90-$100 million of EBITDA over the past year, the three sources said.
Based on market growth in B2C and B2B services, Cortec should be able to command a 15x or higher EBITDA multiple in a sale of A1 to an upper mid-market or large-cap private equity firm, two of the sources said. Note that the median multiple for B2C repair and maintenance providers over the last 12 months is 13.4x, according to SIPA privateMetrics.
Blackstone, Leonard Green, Monogram Capital and NorthCurrent Partners have been active investors in residential and commercial garage door maintenance and hardware companies in recent years.
A1 Garage was formed in 2007 by Tommy Mello and provides mechanical garage door service and installation with more than 700 technicians and service professionals. Since Cortec invested in the company in 2019, A1 has closed on at least 17 add-ons for expansion in Texas, Nevada, Colorado and Tennessee, according to its website.
See previous coverage of M&A in the garage door service market. Cortec Group and Piper Sandler declined to comment.
