Golden Gate Capital Partners with Founder and CEO Scott Blackstock on Recapitalization of Tidal Wave Auto Spa
SAN FRANCISCO & THOMASTON, Ga.–(BUSINESS WIRE)–Golden Gate Capital, a leading private equity investment firm, and Tidal Wave Auto Spa Founder and CEO, Scott Blackstock, today announced the recapitalization of Tidal Wave, one of the largest and fastest growing premium conveyor car wash systems in the U.S. Mr. Blackstock will continue to lead the Company as CEO and will remain a significant shareholder. The Company will continue to be headquartered in Thomaston, GA. Terms of the transaction were not disclosed.
Founded in 1999, Tidal Wave’s current footprint consists of over 60 locations across eleven states in the Southeast and the Midwest, and its unit count has grown 50% annually since 2017. The Company’s exceptional team and proprietary technology, cleaning products and systems deliver the highest quality car washes, complemented by unmatched customer service and state-of-the-art facilities. Tidal Wave is differentiated by its unique Unlimited Wash Club, which offers customers unbeatable value across an array of options, including exterior and interior cleaning, as well as a family plan.
“Thanks to our talented and dedicated team members and joint-venture partners, Tidal Wave has grown rapidly over the past two decades, establishing itself as an industry leader. Our success is driven by our unwavering commitment to providing customers with the highest quality washes, maintaining best-in-class locations that are a pleasure to visit and delivering top-tier customer service at every visit,” said Mr. Blackstock. “Golden Gate Capital is aligned with our long-term vision of continuing to redefine the car wash industry, and we are confident they are the perfect partner for the next leg of our journey. Golden Gate Capital will provide invaluable multi-unit consumer and real estate industry expertise and additional development resources, which will fuel our continued expansion across the United States.”
Mike Montgomery, Managing Director at Golden Gate Capital, said, “Tidal Wave is exactly the type of business with which Golden Gate seeks to partner. Scott has re-imagined the car wash experience by leveraging proprietary technology to deliver exceptional quality while prioritizing continuous improvement and unbeatable customer service. These efforts – coupled with the Company’s innovative Unlimited Wash Club program – have resulted in impressive customer loyalty and a strong track record of growth. Tidal Wave’s multi-unit platform, significant real estate development opportunities and data-centric customer approach aligns with Golden Gate’s core consumer capabilities.”
Neale Attenborough, Operating Partner at Golden Gate Capital, added, “We have tremendous respect for Scott and the amazing and innovative Tidal Wave management team, who have consistently delivered outstanding quality and growth. We look forward to working together to accelerate the Company’s trajectory through organic growth at existing sites, aggressive new unit expansion and an enhanced acquisition program.”
Ropes & Gray LLP and Nob Hill Law Group P.C. served as legal advisors to Golden Gate Capital. Troutman Pepper Hamilton Sanders LLP served as legal advisor and J.P. Morgan Securities LLC served as financial advisor to Tidal Wave.
ABOUT TIDAL WAVE AUTO SPA
Tidal Wave Auto Spa’s wave of success began in 1999 at its headquarters in Thomaston, GA. Tidal Wave is one of the fastest growing car wash chains in the country and is a recognized leader in the industry with over 60 locations across eleven states, plus, an additional 18 units currently under construction. Locations span the southeast including Alabama, Georgia, Florida, South Carolina, North Carolina, Mississippi, Virginia, and Texas. In the Midwest, Tidal Wave has locations in Missouri, Nebraska and Kansas. For more information, visit www.tidalwaveautospa.com.
ABOUT GOLDEN GATE CAPITAL
Golden Gate Capital is a San Francisco-based private equity investment firm with over $17 billion of committed capital. The principals of Golden Gate Capital have a long and successful history of investing across a wide range of industries and transaction types, including going-privates, corporate divestitures, and recapitalizations, as well as debt and public equity investments. Notable recent multi-unit consumer investments sponsored by Golden Gate Capital include The Learning Experience, Invo Healthcare and Mavis Express Tire Services. For more information, visit www.goldengatecap.com.
Jenny Gore/Tori Goodell
Sard Verbinnen & Co