Soundcore Capital Partners, a New York-based private equity firm, announced today it completed the sale of Roofing Corporation of America, LLC, a national commercial, industrial, and residential roofing concern, to FirstService Corporation.
The transaction, made public by Soundcore Capital in a Dec. 18 news release, closed on Dec. 15; financial details of the sale were not disclosed.
Headquartered in Atlanta, Ga., Roofing Corp. is a full-service provider of commercial, industrial, and residential roof replacements and repairs, new roof installation, and ongoing preventative maintenance. Soundcore first invested in Roofing Corp. in December 2020, noting that it was compelled to enter the fragmented roofing contracting space after analyzing the upside potential and reoccurring service needs of the industry.
"It was a pleasure to partner with Soundcore over the past three years [and] today’s announcement is the culmination of a lot of hard work; Soundcore has been a trusted and valuable strategic partner for our management team," said Randy Korach, Roofing Corp.'s CEO.
"The partnership with Soundcore enabled us to build a strong company, one of the leading roofing contractors in the United States,” Korach continued. “Soundcore executed its proactive approach and provided the necessary resources to allow us to achieve our goals and deliver the care and attention that demanding clients have come to expect [and] we are grateful for their support and partnership."
During Soundcore's holding period, through capital expenditures, accretive acquisitions, strategic procurement activities and other organic growth initiatives, Roofing Corp. has successfully grown into a leading roofing portfolio firm.
The news release enumerated how Soundcore oversaw 10 acquisitions and entered major markets, including Las Vegas, Southern California, Northern California, Western Idaho, Northern Colorado, Central Texas, Eastern Louisiana, Kentucky, Ohio, Georgia, North Carolina, and South Carolina.
"We initially invested in this thesis with the goal of creating a leading service provider in the roofing industry,” Jarrett Turner, founder and manager partner of Soundcore, said. “Through a combination of strategic add-on acquisitions, investments in technology and integration, procurement programs, organic growth initiatives, and the addition of several key management team members, we were able to achieve our goals.”
Turner underscored Soundcore’s successful investment, noting that Roofing Corp.'s revenue and EBITDA increased by more than tenfold.
"We are proud of our partnership with the Roofing Corp. management team, which successfully executed Soundcore's platform creation strategy,” Turner added. “We want to credit Randy Korach and the entire Roofing Corp. team for their impressive accomplishments, leadership, and dedication in helping us build a leading company. We are pleased with the outcome for our investors, and we wish this team and the Company success during this next phase of growth."
Piper Sandler & Co. served as the financial advisor, and Kirkland & Ellis LLP served as legal counsel to Soundcore and Roofing Corp.