LARCHMONT, N.Y. — New State Capital Partners announced it acquired a majority stake in Patuxent Roofing & Contracting, Inc., a leading independent provider of reroofing installation and services.
New State is partnering with current owner and CEO Mike Gowl, who will remain with the company and retain a significant equity stake. Terms of the transaction were not disclosed.
"I am grateful to have found a knowledgeable, trusted partner," said Gowl. "New State's deep understanding of our business, operational support, and financial resources will prove invaluable as Patuxent executes on its next phase of growth. I am confident of a bright future for our company."
Headquartered in Laurel, Md., with operations across the mid-Atlantic region, Patuxent primarily focuses on reroofing services to hospitals, schools, government buildings, and other high-end facilities that are subject to complex bid procedures and require operational specialization.
"We are excited to invest in a premier player in institutional and commercial reroofing services," said Kurt Lentz, senior principal at New State. "We were attracted to Patuxent given its recurring revenue customer profile, proven stability through economic cycles, and abundant growth opportunities. We look forward to working with Mike and his team to continue to accelerate the company's growth."
The acquisition of Patuxent marks New State's fourth deal in five months and the third platform investment in New State Capital Partners Fund III, LP, which was raised and activated last year.
"Together with management, we intend to explore strategic acquisitions targeted at geographic expansion as well as complementary building maintenance, repair, and renovation services," said Shaun Vasavada, vice president at New State. "We look forward to building on Patuxent's legacy of excellence."
Morgan, Lewis & Bockius acted as legal advisors and Citizens Bank and Piper Sandler provided financial advisory services to New State. KPMG acted as financial advisor for the company.