British Columbia Investment Management Corp., a Canada-based institutional investor, has acquired a minority stake in Authority Brands, a provider of residential services. The transaction is expected to close in the fourth quarter of 2022.
Authority Brands’ family of brands provides home services through approximately 860 franchise owners in North America. Since Apax Partners LLP‘s majority investment in 2018, Authority Brands has expanded from two home service franchisors to 12, expanding their footprint and services. Apax will remain a majority stakeholder.
“As a long-term investor, we seek to invest in market-leading companies with strong management teams, multiple levers for growth, and resilient business models that create shareholder value, such as Authority Brands,” says Dave Hong, senior managing director of private equity at BCI. “We look forward to working with Authority Brands and Apax to generate compelling risk-adjusted returns for our pension plan and insurance fund clients.”
Harris Williams, Boxwood Partners, William Blair & Co. and Moelis & Co. served as financial advisors, Kirkland & Ellis, Simpson Thacher & Bartlett, DLA Piper, and Lathrop GPM served as legal counsel and Ernst & Young served as financial and tax advisor to Apax.