(New York, NY) – Cortec Group (“Cortec”), a New York-based private equity firm which focuses on investing in and growing entrepreneur-owned and led middle-market specialty consumer, business-to-business, distribution and healthcare services, and products companies, announced that on December 10, 2021, an affiliated investment group led by Cortec Group Fund VII, L.P. (“Cortec Fund VII”), in partnership with CEO Ken Goodrich and his management team, completed the growth recapitalization of Goettl Home Services, LLC (“Goettl” or the “Company”). Terms of the transaction were not disclosed.
Headquartered in Las Vegas, Nevada, Goettl is a provider of residential HVAC and plumbing maintenance, repair and replacement services. Established in 1939, the Goettl brand is one of the original cooling system pioneers in the United States. Under Mr. Goodrich’s leadership, Goettl has scaled rapidly over the last several years through organic growth and acquisitions to become one of the premier home services providers in the Southwest, servicing homeowners throughout Arizona, California, Nevada, and Texas.
Michael Najjar, a Managing Partner of Cortec, stated: “Ken and his team have driven remarkable growth through their commitment to putting the customer first. Our meaningful experience in the consumer services space, through our recent investments in Window Nation and Groundworks, helped us quickly grasp the strength of Goettl’s brand and business model and drove our excitement to partner with the Goettl team.” Doug Kruep, a Partner at Cortec, added, “Beyond supporting organic growth, Cortec looks forward to assisting Goettl as it continues to execute on its robust pipeline of acquisitions of regional and local HVAC and plumbing services providers.”
Ken Goodrich commented: “We are thrilled to have found a partner in Cortec that shares our values and vision for the next phase of Goettl’s growth. Cortec differentiated itself through its uniquely impressive track record of successfully partnering with entrepreneurial management teams, specifically in the home services industry, and by our shared belief in doing things the right way, not the easy way. We look forward to leveraging Cortec’s operational expertise and financial resources to fulfill our mission of ‘Goettl-izing the Nation’.”
The Goettl investment represents the fifth platform in Cortec Fund VII, a $2.1 billion fund which closed in November 2019. Paul Hastings LLP served as legal advisor to Cortec. Senior debt to support the investment was provided by Golub Capital and Adams Street Partners. Cowen & Company served as financial advisor and Perkins Coie LLP and Goodwin Proctor LLP served as legal advisors to Goettl.
About Goettl
Goettl is a leading provider of HVAC and plumbing maintenance, repair, and replacement services to the residential market. Founded in 1939, Goettl has established a reputation for customer service, quality and innovation and today services the Southwestern U.S. through nine branches across Arizona, California, Nevada, and Texas. Additional information about Goettl can be found at www.goettl.com.
About Cortec
Founded in 1984, Cortec invests in market-leading, middle-market specialty consumer, distribution, healthcare, and specialty services and products businesses in partnership with owners and management teams who want to work with Cortec to drive growth and improve business fundamentals. More information about Cortec can be found at www.cortecgroup.com.
