BOSTON & ADDISON, Ill.--(BUSINESS WIRE)--Parts Town, a leading parts distributor in the foodservice equipment market, announced today that Boston-based investment firm Berkshire Partners LLC led a majority recapitalization of the company. Summit Partners, an existing shareholder, will remain a significant investor in the company. Terms of the transaction were not disclosed.
“Parts Town possesses a customer-centric and innovative culture, which has driven remarkable growth,” said Kevin Callaghan, a Managing Director at Berkshire Partners. “We look forward to working with its team and Summit Partners to support the company’s next chapter.”
Founded in 1987 in Addison, Illinois, Parts Town is the fastest-growing distributor of genuine OEM repair and maintenance parts for the foodservice industry and provides locally-focused field service and technical support. With an extraordinary commitment to customer service and innovation and an industry-leading e-commerce platform, Parts Town provides unique, customized solutions to food equipment manufacturers, food equipment service companies, and restaurants. The company has been named to the Inc. 5000 list of fastest-growing U.S. companies for seven consecutive years. Recently, Parts Town announced the acquisition of Whaley Foodservice Repairs, Inc., a large parts distribution and service business, expanding the company’s footprint and further enhancing its customer service capabilities.
“As the company’s first institutional investor, we have worked closely with Steve Snower and his team since 2013 to help drive transformational growth in the business,” said Jay Pauley, a Principal at Summit Partners who will remain on the Parts Town Board of Directors. “We are proud to have partnered with Parts Town and are thrilled to continue our support of this great team.”
“We welcome this new collaboration with Berkshire Partners and look forward to continuing our work with Summit Partners as we invest to further differentiate our business in support of our manufacturer and customer partners,” said Parts Town CEO Steve Snower. “Parts Town is committed to growing our business by striving for excellence, encouraging extraordinary innovation and acting with complete integrity. We are delighted to have investors who share our values and vision for success.”
Weil Gotshal & Manges LLP provided legal counsel to Parts Town, Kirkland & Ellis LLP provided legal counsel to Summit Partners and Ropes & Gray LLP provided legal counsel to Berkshire Partners. Metronome Partners acted as the financial advisor to Parts Town and Ernst & Young LLP provided accounting and tax services.
About Parts Town
Parts Town is a leading distributor of genuine OEM restaurant equipment parts for the foodservice industry. Focused on delivering a unique customer service experience and website, Parts Town customizes solutions for both chain restaurants and food equipment service companies. Founded in 1987, Parts Town partners closely with the leading manufacturers of commercial cooking, refrigeration, ice, and beverage equipment to improve their parts supply chain, delight their customers, and grow genuine parts sales. For more information visit www.partstown.com or follow on Twitter at @PartsTown.
About Berkshire Partners
Berkshire Partners, a Boston-based investment firm, has raised nine private equity funds with more than $16 billion in aggregate capital and has made over 115 investments in primarily middle-market companies since its founding in 1986. Berkshire has developed specific industry experience in several areas including consumer products and retail, business services, industrials, communications and transportation. Berkshire has a strong history of partnering with management teams to grow the companies in which it invests with the goal of consistently achieving superior investment returns. The firm is currently investing from Berkshire Fund VIII, a $4.5 billion fund raised in 2011. In March 2016, Berkshire completed fundraising for Fund IX, which has $5.5 billion in commitments. The firm seeks to invest $50 million to $500 million of capital in each portfolio company. For additional information, visit www.berkshirepartners.com.
About Summit Partners
Founded in 1984, Summit Partners is a growth equity firm that is currently investing more than $7.2 billion into equity and fixed income opportunities. Summit has invested in more than 430 companies in technology, healthcare and other growth sectors. These companies have completed more than 135 public offerings, and more than 160 have been acquired through strategic mergers and sales. Notable technology-enabled business services companies financed by Summit Partners include Access Information Management, Central Security Group, Systems Maintenance Services and Vivint. Summit maintains offices in North America and Europe, and invests in companies around the world. For more information, visit www.summitpartners.com or follow on Twitter at @SummitPartners.
In the United States of America, Summit Partners operates as an SEC-registered investment advisor. In the United Kingdom, this document is issued by Summit Partners LLP, a firm authorized and regulated by the Financial Conduct Authority. Summit Partners LLP is a limited liability partnership registered in England and Wales with registered number OC388179 and its registered office is at 20–22 Bedford Row, London, WC1R 4JS, UK. This document is intended solely to provide information regarding Summit Partners’ potential financing capabilities for prospective portfolio companies.