(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 I’m The Guy Basements (“ITG”) on July 16, 2021. ITG is the sixth acquisition completed by Groundworks since Cortec Fund VII’s investment. Terms of the transaction were not disclosed.
Founded in 2009 and headquartered in Northumberland, PA, ITG has more than 65 employees and serves the single-family residential market with a suite of services including basement waterproofing, crawlspace repair, foundation repair, and other related services. As part of the acquisition, ITG will unite with western Pennsylvania-based Baker’s Waterproofing, a Groundworks brand acquired in May 2021. These two leading companies in Pennsylvania will now be united under one brand, Baker’s Waterproofing. The combined organization will form the largest and most reputable foundation services and waterproofing company in Pennsylvania.
Virginia Beach, VA-based Groundworks is the nation’s leading vertically integrated foundation services company, with a footprint of 40 offices servicing 27 states under 17 locally operated brand names and employing more than 3,200 associates. ITG represents Groundworks’ twentieth acquisition since its inception in 2016.
“ITG has demonstrated strong performance over the last few years and the business continues to grow. Partnering with Jake Waltz and his team allows us to further expand our footprint in Pennsylvania as we move deeper into the Mid-Atlantic and Northeast regions,” stated Matt Malone, Founder and CEO of Groundworks. “Groundworks’ commitment to the ITG team is to invest in the business – with a new building, new technology, new fleet assets and unlimited personal, and professional growth for the employees. With aggressive expansion plans, employees will not only have more opportunities in Pennsylvania, including ownership, 401K and profit-sharing programs, but will also have opportunities for growth at our other 40 locations across the country.”
“ITG’s partnership with Groundworks and Baker’s Waterproofing means my company, and the employees who built it with me, will have an exponential number of opportunities in front of them,” said Founder Jake Waltz. “Baker’s Waterproofing and ITG have been the two largest contractors in the state that do what we do, and now we can do it together.”
Bill Tucker, a Cortec Partner, said, “We are excited for Groundworks’ partnership with ITG and to add a strong Pennsylvania foundation services and waterproofing company to the Baker’s Waterproofing brand.” Cortec Co-President Dave Schnadig added, “Matt and the Groundworks team have continued to execute strategic acquisitions in 2021 while successfully driving organic growth in the business. We are very proud of Groundworks’ leadership and their demonstrated ability to consistently grow the company.”
About Groundworks
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 AFS Foundation & Waterproofing Specialists™, AquaGuard Foundation Solutions™, Baker’s Waterproofing™, 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 1986, 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.groundworkscompanies.com.
About ITG
Founded in 2009 and headquartered in Northumberland, PA, ITG is a leading provider of basement waterproofing, crawlspace repair, foundation repair, and other related services throughout eastern and central Pennsylvania. ITG services the single-family residential market, providing a critical suite of services to homeowners which preserve home value, integrity, and safety. More information about ITG can be found at www.itgbasementsystems.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.
