Groundworks Adds New Growth Capital Partner to Accelerate Industry Evolution
January 21, 2020
Nation’s Leading Foundation Services Company Selects the Cortec Group as Partner
Virginia Beach, VA (January 21, 2020) – Groundworks®, the nation’s largest foundation services company, today announced a partnership with the Cortec Group (“Cortec”), a multi-billion-dollar private equity firm focused on investing in and growing entrepreneur-led middle-market specialty consumer services and products companies.
Groundworks continues to disrupt the foundation services industry, ushering in 2020 with the announcement of a new growth capital partner to accelerate Groundworks’ organic and acquisitive expansion.
“In late 2019, we began a search for the best partner to assist us in accelerating our mission of evolving the foundation services industry. We wanted a partner who valued our company culture, business model and aligned with our mindset,” said Matt Malone, Chief Executive Officer and Founder of Groundworks. “For over 35 years, Cortec has built a track record of helping founders and entrepreneurial management teams build their high-growth companies. They grind just like the men and women of Groundworks, and, most importantly, they value people. We did diligence on numerous potential growth capital partners, but, after speaking with the CEO of the Cortec portfolio company, YETI, I was sold," concluded Malone. "Cortec understands consumer, growth-oriented businesses and entrepreneurial Founders. They will bring massive resources to help us evolve the industry.”
David Schnadig, Co-President of Cortec, stated: “Since their first acquisition in 2016, Matt Malone and his team have successfully executed their laser-focused strategy to lead the foundation services industry by delivering consistent excellence to the customer throughout the nation. Our meaningful experience working with entrepreneurs, particularly in the consumer services space, helped us quickly understand the uniqueness of Groundworks’ transformational business model and drove our excitement to partner with Matt and his team to facilitate even more rapid future expansion.” Michael Najjar, a Managing Partner at Cortec, added, “In addition to fostering organic growth, Cortec looks forward to supporting Groundworks as it continues to consolidate the industry by executing on its robust pipeline of acquisitions of regional and local foundation services providers.”
Groundworks is the nation’s largest privately-held foundation services company. Headquartered in Virginia Beach, VA, the company provides foundation repair, basement waterproofing, crawl space repair and encapsulation, and concrete lifting. Groundworks is comprised of Complete Basement Systems®, Florida Foundation Authority™, Foundation Recovery Systems™, Foundation Repair of Western Colorado™, Indiana Foundation Service™, Innovative Basement Authority™, JES Foundation Repair™, Mount Valley Foundation Services®, Ohio Basement Authority™, Ohio Basement Systems™, Tar Heel Basement Systems®, A-1 Sewer & Drain™, Independence Materials Group™, and Bizwiz Software™. Since 1986, the combined companies have helped over 250,000 homeowners protect and repair their most valuable asset, their home. Groundworks operates over twenty offices that serve Arkansas, Colorado, Florida, Georgia, Indiana, Illinois, Iowa, Kansas, Maryland, Minneapolis, Missouri, Montana, Nebraska, North Carolina, North Dakota, Ohio, South Carolina, Virginia, West Virginia, and Wisconsin. The company has been named numerous times to the Inc. 5000 Fastest Growing Companies and Best Places to Work. For more information about Groundworks, please visit https://www.GroundworksCompanies.com.