Argosy Private Equity, a lower middle-market private equity firm, acquired Vac2Go. This is the seventh investment in Argosy’s sixth lower middle-market fund. The Argosy deal team consisted of Don Charlton, Michael Bailey, Jason Cunningham, Michael Paniccia, Dave Young, Travis Spreen and Seth Wilson from Headhaul Capital. NewSpring Capital provided mezzanine debt financing and equity coinvest. Slane Hill Capital served as advisor to Vac2Go and David Felts from TM Capital served as buy-side advisor to Argosy.
Founded in 2011 and headquartered in Louisville, KY, Vac2Go is a provider of mission-critical equipment to industrial, utility, and municipal customers. The company offers daily to multi-month rentals of the latest model trucks and equipment to industrial service contractors, environmental contractors, the construction, excavation, and utility industries, and to state and local municipal governments. Additionally, Vac2Go provides repair and maintenance services for vacuum trucks and related equipment at all its facilities. The Company has offices in Kentucky, Tennessee, Ohio, Alabama, South Carolina, Indiana and Texas.
“This is a phenomenal opportunity for Vac2Go as we leverage the best of our customer service and fleet with Argosy’s financial backing and expertise,” Allison Jamison Woosley, CFO of Vac2Go, said. “Argosy was selected as our partner in large part because of their experience in the equipment rental space as well as their Value Acceleration Methodology. We are excited to expand our reach geographically and increase our fleet size which will allow us to broaden our customer base in the years to come.”
“We continue to see increasing long term demand for our products and services and look forward to capturing more of the market in alignment with a growth path that is now bolstered by the partnership with Argosy,” Matthew Harper, chief operating officer of Vac2Go, said. “This partnership will help us achieve new milestones and continue to provide Best in Class services and products to our customer base for many years to come.”
“We are excited to be partnering with Vac2Go and its dynamic leadership team. With its specialized rental equipment offerings, technology-driven approach, and well-maintained truck fleet, Vac2Go has become a leader in the relatively new and growing vacuum truck industry,” Don Charlton, partner at Argosy Private Equity, said. “We are looking forward to working with the team and leveraging our prior experience in the industry to help grow the business and continue expansion of products and services.”
Argosy has begun implementation of its value acceleration methodology (VAM) strategy alongside management to seek to improve performance and operational efficiency. With significant growth potential in the industry, the business strategy will focus on continuing to grow the company’s fleet and branches, further developing the used truck and equipment sales processes, and providing additional resources to the management team to help execute the strategic plan.
