Pest Now Sells To Center Oak Partners
August 2, 2023 - Industry News
Author - Tom Miche
DALLAS, TX – August 1, 2023 – CenterOak Partners LLC (“CenterOak”), a Dallas-based private equity firm, today announced its portfolio company Palmetto Exterminators has acquired PestNow and formed Entomo Brands (the “Company”). Entomo Brands manages multiple insect-related service companies operating under well-established regional and local brands. The Company will maintain its corporate headquarters in Charleston, South Carolina and Palmetto Exterminators CEO Brian Butler will serve as CEO of the combined business. PestNow and Palmetto Exterminators will retain their existing trade names and continue to serve customers across the Southeast and Mid-Atlantic regions. Terms of the transaction were not disclosed.
Founded in 1995 and headquartered in Sterling, Virginia, PestNow serves customers through eight branches providing residential and commercial pest control services across Virginia, Maryland, D.C. and West Virginia. Following the acquisition, Entomo Brands employs more than 350 team members and operates 17 branches across six states with a concentrated footprint in the Southeast and Mid-Atlantic regions. Based on industry data, the Company’s operating and financial presence makes Entomo Brands one of the top 25 largest providers of general pest, recurring termite and mosquito control services in the United States. The Company plans to continue to grow organically and through add-on acquisitions.
“The PestNow acquisition is a great example of our theme-driven investment strategy focused on sourcing high-quality, closely held companies,” said Jason Sutherland, Co-Managing Partner of CenterOak. “We developed a thesis around the recurring, resilient and growing demand for pest control. As the first institutional capital provider to PestNow, CenterOak is well-positioned to support growth in the highly fragmented and attractive pest control services sector.”
“The acquisition of PestNow more than doubles the footprint and earnings of the Company since CenterOak completed a majority investment in Palmetto Exterminators in 2022,” said Eric Holter, Managing Director at CenterOak. “Scaling Entomo Brands into one of the top 25 largest providers of pest control services in the United States is an important milestone in the execution of our investment thesis.”
“The addition of PestNow significantly expands our existing service area and gives us a strong entry point to the highly attractive Virginia, Maryland, D.C. and West Virginia markets,” said Brian Butler, CEO of Entomo Brands. “PestNow is an ideal fit with our growing family of brands and shares our core values and commitment to a customer centric approach. We are excited to welcome the PestNow team and to provide customers with an enhanced range of services and support.”
LR Tullius served as financial advisor to PestNow in connection with the transaction.
About Entomo Brands
Entomo Brands is a leading provider of general pest, recurring termite and mosquito control services for residential and commercial customers. The Company operates 17 branches and serves customers across South Carolina, Virginia, Maryland, Georgia, North Carolina, D.C. and West Virginia. Entomo Brands differentiates itself through high-quality customer care and a commitment to technician training.
About CenterOak Partners LLC
CenterOak Partners LLC is a private equity firm with a focus on making control-oriented investments in middle market companies organized or operating in the United States. The Firm specializes in three key industry sectors: Industrial Growth, Consumer, and Business Services. Based in Dallas, Texas, the CenterOak team has a strong history of creating significant value through operational improvements. CenterOak and its Partners have managed over $2.4 billion of equity capital commitments and have completed more than 150 transactions, representing over $8 billion in value.
Source: PCT Online
Technician was on time, called before arriving- answered all my question and was kind and treated our place with care. I’ll definitely use the service for other properties and will recommend.