PaveMasters Announces Majority Investment from THL Partners

Northern Lakes Capital Exits Following a Successful Founding Partnership

SAN DIEGO--(BUSINESS WIRE)--PaveMasters, a leading provider of pavement maintenance services across the Western United States, today announced a majority investment from THL Partners (“THL”), a premier private equity firm investing in middle market growth companies. Existing investor Northern Lakes Capital (“NLC”) has sold its ownership stake as part of the transaction. With the backing of THL, PaveMasters will build on the company's founding strategy to create the preeminent destination for high-quality asphalt maintenance operators in the Western U.S.

Founded by 30+ year industry veteran Joel Batule and led by CEO Craig Weems, PaveMasters operates through local brands with heritage and community roots in California and Arizona.

“PaveMasters’ mission is to serve our branches and our teams in the field so they can do their best work,” said Craig Weems, Chief Executive Officer of PaveMasters. “THL shares our servant leadership mentality, and their experience helping founder-led businesses scale complements our capabilities as quality paving maintenance operators. THL is the right partner for PaveMasters’ next phase of growth.”

“PaveMasters' brands have been built over decades with reputations for service, professionalism, and craftsmanship," said Cliff Longley and Rob Spies, Managing Directors at THL. "We are excited to support the PaveMasters team with our expertise in scaling services businesses as we partner to build the highest quality paving maintenance provider across the Western United States.”

Joel Batule, Founder of PaveMasters, added, "Since day one of starting PaveMasters with NLC, our focus has been partnering with the highest quality, ‘one of one’ pavement operators and outworking our competitors with a service-first mentality. THL understands that culture and shares our commitment to sustaining it. I look forward to working alongside Craig, our leadership team, and THL as we continue to build on that foundation.”

“We are proud to have partnered with Joel, Craig, and the entire PaveMasters team during the founding years of the business,” said Joel Grebenick, Partner, Northern Lakes Capital. “Together, we built a great business with a reputation for quality and service, and we are confident the company is well positioned for continued success with THL.”

Financial terms of the transaction were not disclosed. Baird was financial advisor to PaveMasters and Fredrikson & Byron acted as legal counsel to PaveMasters and NLC. Schwartz & Co. and Jefferies acted as financial advisors and Davis Polk & Wardwell served as legal counsel to THL. 

About PaveMasters

PaveMasters is a family of "one of one" pavement maintenance companies serving residential communities, commercial, industrial and municipal customers across California and Arizona. Its local brands –JB Bostick, Eagle Paving, AMS Paving, and Weems Asphalt – bring 50+ years of experience spanning San Diego, Los Angeles, Sacramento, the Inland Empire, Palm Desert, and Phoenix. PaveMasters provides asphalt paving, sealcoating, crack filling, concrete repair, striping, and related services that help customers preserve and extend the life of critical paved infrastructure, backed by an industry-leading employee retention rate and a shared commitment to quality, reliability, and on-time, on-budget delivery.

About THL Partners

THL Partners is a premier private equity firm investing in middle-market growth companies exclusively within Healthcare, Financial Technology & Services, and Technology & Business Solutions. THL couples deep sector expertise with dedicated operating resources to build great companies of lasting value in partnership with management teams. For more information, visit www.thl.com.

About Northern Lakes Capital

Northern Lakes Capital, a private equity firm formed in 2021, targets control investments in lower middle-market companies across North America, with a focus on fragmented sectors including manufacturing, distribution, business services and specialty services. The firm invests in market-leading family-owned and private businesses, leveraging its operator-led model, regional insight and broad national network to accelerate growth and build long-term value.