Ace Hardware acquired Unique Indoor Comfort’s portfolio of 12 independent heating & air, plumbing and electrical home services companies from Atlanta-based private equity firm Grove Mountain.
The portfolio of companies sold to the largest retailer-owned hardware franchise includes Moncrief Heating & Air in Atlanta; Unique Indoor Comfort In Billerica, Massachusetts; Werley Heating & Air in Allentown, Pennsylvania; Clay’s Climate Control in Linwood, New Jersey; Detmer & Sons in Fairborn, Ohio; Carolina Custom, Rye Heating and Air Canella Heating & Air and A-Total Plumbing, all in Lincolnton, North Carolina; All Phase Electrical in Pembroke, Massachusetts; Dick Hill & Son in Richmond, Indiana; and Jackson Plumbing and Heating & Air in Old Town, Maine.
An Ace Hardware spokesperson told Franchise Times that the company does not intend to franchise the portfolio of HVAC companies and would not comment at this time on future plans for those brands.
Founded in 1967, Unique Indoor Comfort began by specializing in central air conditioning service in homes that use radiators for heating, and over years has developed into a full-service residential and light-commercial HVAC business. The company has experienced organic growth of over 20 percent, according to the company, after Grove Mountain brought together 12 independent service-providing businesses located in the East and Midwest beginning in June 2021.
“Financially we achieved our five-year results a lot faster than anticipated and we had the chance to a get a great buyer in that the management team was excited about,” Ransom James, managing partner for Grove Mountain Partners, said about what promoted his company to sell to Ace.
Ransom James, managing partner of Green Mountain Partners
Grove Mountain Partners, founded in 2020, invests in lower-middle market home service companies and specialty business service companies, generally with annual revenues between $15 million to $200 million.
“Since our initial investment in June 2021, the company completed nine add-on acquisitions and grew total revenue over 6x,” said John Koch, chairman of Unique and partner at Grove Mountain. “Now, we are excited to be part of the Ace team, which will allow us to leverage their combined financial and operational capabilities and expertise.”
Founded in 1924 in the Chicago area, Ace franchisees not only become business owners, but also shareholders in the organization. The hardware chain also offers an option to convert stores from existing independent stores to an Ace Hardware store.
The investment range for an Ace Hardware franchise is $450,000 to $1,0000, according to the company’s franchise disclosure document, with an initial investment requirement of $250,000.