CAP FUNDS LEADS INVESTMENT TO COMPLETE MERGER WITH EXISTING PAVEMENT PRESERVATION PLATFORM

NASHVILLE, Tenn., Feb. 22, 2023 /PRNewswire/ -- Capital Alignment Partners ("CAP Funds") is excited to announce the closing of an addition to the American Pavement Preservation ("APP") platform. CAP Funds led a debt and equity investment to support a merger with our existing pavement preservation platform, APP and Cactus Asphalt ("Cactus"). The proceeds from the investment provided partial liquidity to existing shareholders as well as capital to continue to grow the combined businesses. Existing management at both companies will continue in their respective leadership positions. 

The merger with Cactus is a continuation of APP's strategy to create a leading pavement preservation company in the Southwestern market and increases the Company's presence in the Arizona market. In 2021, APP acquired Southwest Slurry Seal ("SWSS"), also located in Phoenix, as well as Viking Construction ("Viking") based in Dallas.

Lee Ballew, Managing Director at CAP Funds, said, "We are pleased to support APP in their strategy to grow and expand across the Southwest and are incredibly excited to have found an excellent partner in Cactus. The consolidated business expands our service capabilities and will create new opportunities for our employees and customers."

James Gallegos, Managing Partner at Cactus Asphalt, said, "Cactus has grown significantly over the past eight years and is excited to continue to expand through our partnership with APP. We would not have this opportunity if not for the hard work and dedication of the Cactus team."

About Capital Alignment Partners

Founded in 2009, CAP Funds is a private debt and equity firm with offices in Nashville, TN and Newport Beach, CA. Currently investing out of its fourth SBIC fund, which is a $400M investment vehicle, CAP Funds is actively looking to deploy capital to established lower-middle market companies. CAP has a proven track-record of successfully working with management teams to create value through both organic and strategic growth as well as maximizing shareholder value through different types of liquidity events. CAP Funds provides capital for growth, acquisitions, management buyouts, ESOPs and recapitalizations. For additional information or contact information, please visit capfunds.com.

Contact:
Lee Ballew
[email protected]

SOURCE Capital Alignment Partners