Home services company Apex Service Partners is nearing a minority stake sale that could value it at around $10 billion, including debt, according to a source familiar with the situation.
The company, backed by private equity firm Alpine Investors, has been working with investment bank Goldman Sachs on the process, the source and two others said, requesting anonymity to discuss a private matter.
The new investor and the exact size of the minority stake could not be ascertained.
Goldman declined to comment. Alpine and Apex did not immediately respond to requests for comment.
Private equity firms have increasingly targeted the residential services sector in recent years, drawn by steady cash flows and the potential for high valuations in fragmented markets made up of small, local operators.
Headquartered in Tampa, Apex provides heating, ventilation and air conditioning (HVAC), plumbing and electrical services. It operates in nearly every U.S. state and has more than 7,800 tradespeople, according to its website.
Alpine launched Apex in 2019 and moved it into a single-asset continuation vehicle in a $3.4 billion transaction in 2023, a structure that lets private equity firms retain ownership while giving some existing investors the option to cash out. At the time, Blackstone Strategic Partners, HarbourVest Partners, Lexington Partners and Pantheon participated in the deal.
Based in San Francisco, California, Alpine has nearly $19 billion in assets under management.
Source: Reuters.com