(New York, NY) – Cortec Group (“Cortec”), a New York-based private equity firm focused on investing in business-to-business and business-to-consumer products and services companies in consumer, healthcare, commercial / industrial and other end markets, is pleased to announce that its affiliate, Cortec Group Fund VII, L.P., has sold A1 Garage Acquisition, LLC d/b/a A1 Garage Door Service (“A1” or the “Company”) to KKR, a leading global investment firm. Terms of the transaction were not disclosed.
Founded and led by CEO Tommy Mello, A1 is a leading provider of direct-to-consumer residential garage door repair and replacement services to homeowners across 29 geographies with company-employed technicians and installers. A1’s focus on deploying its quality-driven operating model consistently across geographies has helped the Company build an outstanding reputation for customer service, with an average Google rating of 4.9 stars.
Since Cortec partnered with A1 in December 2022, the Company has expanded its footprint through greenfield launches and add-on acquisitions and has significantly grown its technician and installer team. A1 has also grown and strengthened its executive leadership group, invested in centralized technician training and recruiting, enhanced its omni-channel marketing and lead generation capabilities and deployed AI-enabled technology in customer acquisition, call center operations and technician dispatch.
Doug Kruep, a Managing Partner at Cortec, stated, “Based on our extensive experience partnering with founders and investing in consumer services companies, we recognized that Tommy and the A1 team had built an exceptional platform, and there was an opportunity to drive value creation by fostering an environment of disciplined and fact-based decision-making to accelerate growth organically and through acquisitions. Over the course of our partnership, A1 has established its position as a leader in residential garage door services.” Michael Najjar, another Cortec Managing Partner, added, “We are very pleased with the results of our partnership with Tommy and the entire A1 team, and we share management’s excitement for their next phase of growth.”
Tommy Mello, A1’s Founder and CEO, who will continue to lead the business and maintain a significant ownership stake, remarked, “Cortec has been a true partner to A1 and to me personally. From day one, the Cortec team encouraged us to think big and helped us build a company that can continue to scale into new markets. They understood the importance of our culture and ensured that we remained focused on supporting our field teams in providing the highest-quality service for our customers. We are grateful to the Cortec team and excited to begin our next chapter with KKR.”
A1 was advised in the transaction by Piper Sandler & Co. as lead financial advisor and William Blair & Company, L.L.C. as co-advisor, with Paul Hastings LLP serving as legal counsel.
About Cortec Group
Founded in 1984, Cortec focuses on investing in and helping management teams build growing, high-margin middle-market products and services companies across various end markets. Cortec works closely with owners and management teams who want to leverage its capabilities and resources to drive growth and improve business processes while preserving each company’s unique culture. Cortec is currently investing Cortec Group Fund VIII, L.P. and has more than $6.5 billion in assets under management. More information about Cortec can be found at www.cortecgroup.com.
About A1 Garage Door Service
Headquartered in Phoenix, AZ, A1 is a leading provider of direct-to-consumer residential garage door repair and replacement services, operating in geographies across the United States with company-employed technicians and installers. A1’s centralized training, marketing and call center operations deliver same-day service and a consistently high-quality customer experience. More information about A1 can be found at www.a1garage.com.
