Funds managed by the private equity business of Neuberger Berman have acquired a minority interest in CSC ServiceWorks (CSC). Terms of the transaction have not been disclosed.
CSC is the largest North American route-based service provider of multi-family housing and commercial laundry services, as well as the global leader in air vending services to convenience stores and gas stations, with more than 1.4 million machines in service and greater than 3,000 associates across North America and Europe.
CSC was created In May 2013 when Pamplona simultaneously acquired Coinmach Service Corp. and AIR-serv Group LLC. Under Pamplona's ownership, CSC has expanded its senior management team, invested in information technology and systems, completed several acquisitions, and grown organically, while nearly doubling EBITDA to greater than $325 million. CSC's acquisitions have included Sparkle Solutions Corp, Canada's third-largest laundry route operator, and Mac-Gray Corporation (NYSE: TUC), a leading provider of laundry services in the United States. Teachers’ previously acquired a 29.7% stake in CSC from Pamplona in November 2014.
“We welcome the opportunity to partner with Neuberger Berman, one of the world's leading employee-owned investment managers, as we seek to further develop CSC as the premier provider of laundry and air vending services," says Robert Warden, a partner at Pamplona.
Bob Doyle, CEO of CSC ServiceWorks, says: “The investment by Neuberger Berman is an affirmation of all the positive changes and growth that CSC has experienced over the last two years as well as a vote of confidence in the future of CSC. I am proud of my team and what we have accomplished and am excited for what we have yet to accomplish. I look forward to working with Neuberger Berman as an investment partner.”
