Brea, Calif.-based CoolSys, parent company of refrigeration and HVAC companies nationwide, has been acquired by a fund managed by the Private Equity Group of Ares Management Corp. CoolSys will continue to operate under its current executive team, which will collectively maintain a significant equity investment in the company. Financial terms of the private transaction were not disclosed.
“This is a major milestone for CoolSys,” said Adam Coffey, CEO of CoolSys. “We are grateful to our former private equity partner, Audax Group, for supporting the execution of our growth strategies during the past three years. Now, with Ares’ additional support and resources, we can pursue a more aggressive acquisition and expansion strategy.”
Over the past three years, CoolSys has undergone transformative growth with eight acquisitions to expand its presence and reinforce its service capabilities in key geographic markets across the United States. Its most recent acquisition was Syracuse, N.Y.-based ABC Refrigeration & HVAC in early March. ABC is a commercial refrigeration and air conditioning services provider in the Northeast that also has in-house metal fabrication capabilities. CoolSys plans to continue its growth organically as well as through strategic acquisitions following its partnership with Ares.
To accommodate its growing operations and staff, CoolSys expanded into a 27,000-sq.-ft. headquarters facility in Brea, Calif., in December 2017. CoolSys currently employs a team of more than 2,000 employees nationwide and is in active discussions with several potential acquisition targets.
“We are impressed by [Coolsys’] rapid growth, blue-chip customer portfolio, expanding set of customer solutions, highly capable leadership team and strong employee-centric culture,” said Matt Cwiertnia, partner and co-head of North America Private Equity of Ares Management. “We look forward to partnering with CEO Adam Coffey and the entire CoolSys management team to accelerate growth both organically and through add-on acquisitions.”