(New York, NY) – Cortec Group (“Cortec”), a New York-based private equity firm that focuses on investing in and growing entrepreneur-led and family-owned middle market specialty consumer, business-to-business, distribution and healthcare services, and products companies, announced that Groundworks, LLC (“Groundworks”), in which Cortec Group Fund VII, L.P. (“Cortec Fund VII”) made a significant growth capital investment on January 17, 2020, acquired Alpha Foundations (“Alpha”) on December 16, 2021. Alpha is the eighth acquisition completed by Groundworks since Cortec Fund VII’s investment. Terms of the transaction were not disclosed.
Founded in 2002 and headquartered in Monticello, Florida, Alpha is the leading foundation and crawl space repair company in Florida with six offices and more than 300 employees. Alpha serves the single-family residential market with a suite of services including foundation repair, crawlspace encapsulation and concrete repair and other related services.
Virginia Beach, VA-based Groundworks is the nation’s leading foundation and water management solutions company, with a footprint of 47 offices servicing 27 states under 18 locally operated brand names and employing approximately 4,000 associates nationwide. Alpha represents Groundworks’ 22nd acquisition since its inception in 2016.
“Alpha has a longstanding history in Florida, and similar to Groundworks, has been on an aggressive growth trajectory,” stated Matt Malone, Founder and CEO of Groundworks. “Matt Shanley and his team achieved remarkable growth by putting people first, which we will continue to do for Alpha’s employees and customers. As part of the partnership with Groundworks, we will not only invest in the business, but we will also invest heavily in the career development and training of the Alpha employees, so they are empowered to provide better service and support to our customers.”
“Groundworks and Alpha Foundations are two of the industry’s fastest growing brands, so this partnership is a natural progression for both of our companies,” said Alpha Founder Matt Shanley. “The employees at Alpha are the hardest working individuals, not just in the foundation repair business, but in any industry. I am excited for the partnership with Groundworks because it will allow our employees to achieve new levels of career advancement and success they wouldn’t otherwise be able to achieve elsewhere.”
Bill Tucker, a Cortec Partner, said, “Groundworks’ acquisition of Alpha represents a significant opportunity for Groundworks to continue expanding in Florida and Southern Georgia. We are excited to welcome this strong brand to Groundworks.” Cortec Co-President Dave Schnadig added, “Matt and the Groundworks team have had a very successful year executing strategic acquisitions while continuing to drive organic growth in the business. We continue to support the Groundworks team in building a unique home services platform.”
About Groundworks
Groundworks® is the nation’s leading foundation and water management solutions company. Headquartered in Virginia Beach, VA, the company provides foundation repair, basement waterproofing, crawl space repair and encapsulation, and concrete lifting services. Groundworks is comprised of AFS Foundation & Waterproofing Specialists™, Alpha Foundations™, AquaGuard Foundation Solutions™, Baker’s Waterproofing™, BQ Basements & Concrete™, Complete Basement Systems®, Dry Pro Foundation & Crawlspace Specialists™, Florida Foundation Authority™, Foundation Recovery Systems™, Foundation Repair of Western Colorado™, Foundation Systems of Michigan™, 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 1975, the combined companies have helped nearly 1.5 million homeowners protect and repair their most valuable asset, their home. Groundworks has been named numerous times to the Inc. 5000 fastest growing companies, BBB® integrity award, and Best Places to Work™ lists. For more information, visit www.groundworks.com.
About Alpha
Founded in 2002 and headquartered in Monticello, FL, Alpha is a leading provider of foundation repair, crawlspace encapsulation, concrete repair and other related services in Florida and Southern Georgia. Alpha services the single-family residential market, providing a critical suite of services to homeowners which preserve home value, integrity, and safety. More information about Alpha can be found at www.alphafoundations.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 entrepreneurs, families 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.
