RLJ Equity Partners and LP First Capital Exit Flow Service Partners

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Nov 21, 2024, 09:00 ET

BETHESDA, Md., Nov. 21, 2024 /PRNewswire/ -- RLJ Equity Partners, an affiliate of The RLJ Companies, and LP First Capital announce the sale of portfolio company Flow Service Partners ("Flow"), a leading provider of commercial heating, ventilation, air conditioning, and refrigeration ("HVACR") and plumbing services in the Midwest, Southeast, and Mid-Atlantic U.S. Financial terms of the transaction were not disclosed.

"It has been a privilege to lead Flow through a period of transformative growth, partnering closely with the teams at our operating companies to build on their market-leading positions," said Daniel Youman, President & CEO of Flow. "We are excited about the next chapter for Flow and remain steadfast in our commitment to drive unparalleled value for our customers and stakeholders," stated Youman.

"Flow Service Partners was purpose-built through six acquisitions to create a trusted leading provider of commercial HVACR and plumbing services to blue-chip customers across key growth markets," said Nigel Howard, Partner at RLJ Equity Partners. "We are proud to have supported Flow's strong growth trajectory since 2021," remarked Howard.

"Since our initial investment in 2021, Flow has more than tripled its revenue through attractive organic growth and several strategic acquisitions," stated Thomas Ince, Managing Partner at LP First Capital. "Given Flow's established industry leadership and unique capabilities, we are excited for the company's continued growth and success," said Ince.

Houlihan Lokey served as the exclusive financial advisor to Flow. Alvarez & Marsal provided transaction advisory services and DLA Piper LLP acted as legal counsel.

About Flow Service Partners: Headquartered in Nashville, TN, is a leading provider of heating, ventilation, air conditioning, and refrigeration and plumbing services, including maintenance, repair, replacement/retrofit, and installation services. Through its partners, Flow currently operates in Delaware, Florida, Indiana, Kentucky, Maryland, and Pennsylvania and has over 400 employees. For more information, please visit www.flowservice.com.

About RLJ Equity Partners ("RLJ"): Headquartered in Bethesda, MD, RLJ Equity Partners is a middle-market private equity firm with approximately $440 million in total capital under management focused on generating long-term capital appreciation by investing in profitable and growing businesses led by strong management teams. Founded in 2006 by Robert L. Johnson, RLJ originates and invests in traditional buyouts and leveraged recapitalizations. RLJ Equity Partners is a portfolio company of The RLJ Companies. For more information, please visit www.rljequitypartners.com.

About LP First Capital: LP First Capital is a private investment firm with experience creating super-regional and national platforms by leveraging its expertise in mergers & acquisitions, profit center integration, and team building to drive performance. Headquartered in Austin, TX, LP First Capital maintains an active presence in much of the Southwest, Southeast, and Midwest markets as it continues to take interest in building best-in-class businesses within traditionally fragmented industries. For more information, please visit www.lpfirstcapital.com.

About The RLJ Companies: Founded by Robert L. Johnson and headquartered in Bethesda, MD, The RLJ Companies is an innovative business network that provides strategic investments to a diverse portfolio of companies in the media and entertainment, financial services, real estate, hospitality, and gaming industries. Prior to founding The RLJ Companies, Johnson founded Black Entertainment Television. For more information, please visit: www.rljcompanies.com.

FOR MORE INFORMATION:

RLJ EQUITY PARTNERS
Nigel Howard, Partner, (240) 744-7835, [email protected]

SOURCE RLJ Equity Partners, LLC