Car wash momentum: Golden Gate recaps Tidal Wave at ~$950m value

The Wire

Jan. 4, 2021

Golden Gate recaps Tidal Wave at ~$950m value, H&F moves Verisure into continuation vehicle, GPs prep assets for 2021 sales

Happy New Year, readers!

Your daily rundown on private equity dealmaking is back in action after the most unusual of holiday seasons. While I’ve been hunkering down in the Southwest with lots of hiking, reading and power lounging, that isn’t to say deals weren’t getting done in the final days of the year.

ICYMI: Golden Gate Capital just before the New Year announced the recapitalization of Tidal Wave Auto Spa, valuing the fast growing car wash chain at about $950 million, a source familiar with the matter told me. Elsewhere, Blackstone's HealthEdge snapped up Altruista Group from Martis Capital, on the heels of the healthcare technology platform's July deal for The Burgess Group, which pushed its top line north of $200 million, PE Hub previously wrote.

2021 pipeline: The adaptability and resilience of private equity has in many ways proven out over the last 12 months, with a burst of M&A activity in the final quarter of the year.

The pent up demand is still there, and GPs remain hungry to put capital to work. But will the typical flood of new deal books and acquisition opportunities become available in the coming days and weeks? Technology and healthcare are two industries that remained highly sought after the initial shock of the pandemic, with valuations holding up or even surpassing precedent deal multiples in certain segments. In healthcare, bankers in December told me they were busier than ever before - signaling a robust 2021 pipeline is inevitable.

What assets are bankers pitching for right now and what's already hit the market? Write to me at springle@buyoutsinsider.com with your deal tips and feedback, or just to say hello!

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Note to Readers: It's that time of year ... for the 21st time, the editors of PE Hub and Buyouts honor exceptional buyouts with our Deal of the Year Awards.

Winners are chosen in seven categories: Deal of the Year, Large-Market Deal of the Year, Middle-Market Deal of the Year, Small-Market Deal of the Year, Turnaround of the Year, International Deal of the Year, and Secondaries Deal of the Year.

Go here for more information and to read about rules and methodology. Also check out past winners. Last year, New Mountain took the crown with its exit of Equian.

If you have additional questions, email Private Equity Editor Chris Witkowsky at cwitkowsky@buyoutsinsider.com.

Also of note (may require subscriptions)

Holding on: Hellman & Friedman closed a large process to move three assets out of an older fund and into a continuation vehicle, reports Buyouts. Verisure, an alarm and security services company held by the PE firm for nine-plus years, is the largest asset in the deal. Read more here.