February 2023
Source Capital, through its first SBIC fund, is pleased to announce its investment in Guardian Fleet Services, Inc. ("Guardian" or the "Company"), the leading provider of towing, recovery, and specialized transportation services in the United States. The investment included the combination of three businesses - Guardian, Emerald Transportation, and Sapp's Wrecker Service. The fund and a syndicate of other lenders, including Backcast Partners and Morgan Stanley Private Credit, supported the Growth Investment in the Company by private equity sponsor Chartwell Investments Entrepreneur & Founder Capital ("CHIEF Capital" or the "Sponsor") by providing debt and an equity co-investment.
Headquartered in West Palm Beach, FL, Guardian provides superior towing, recovery, and specialized transportation services to municipal, state and federal agencies, and commercial enterprises and is the largest provider of towing, recovery, and specialized transportation in the United States. Guardian was formed in 2017 as a consolidator of fragmented towing, recovery, and specialized transportation companies in Florida. Today, Guardian consists of 23 locations strategically located throughout Florida and Georgia. The affiliated companies have 200+ years of combined experience, over 400 employees, and more than 400+ assets in its specialized towing and transportation fleet. Guardian is recognized as the industry leader in towing and transportation services while employing and embracing the best people and technology while continuing to focus on internal efficiencies in its business model.
"This is our third investment with CHIEF Capital, realizing a successful exit in the first one, and we are excited to partner with Backcast and Morgan Stanley to support CHIEF's and Guardian's continued growth," said Joe Rodgers, Managing Director at Source Capital. "Guardian's management team has already demonstrated a successful track record of acquisitions and integration so we all look forward to the ongoing buildout of that strategy."
About Chartwell Investments Entrepreneur & Founder Capital (CHIEF Capital)
CHIEF Capital provides flexible private equity for entrepreneurs, family-owned businesses, and corporate carveouts. The firm partners with management owners to help realize their visions and provide long-term capital, resources, and expertise to accelerate growth and provide generational liquidity. CHIEF Capital customizes each investment to meet the objectives of its entrepreneur and family partners. With 45+ years of experience, over $750 million of recent transaction value, 6 current platform investments and 16 recent add-on acquisitions, CHIEF Capital focuses on niche lower middle market companies with an emphasis on healthcare, healthcare services, business services, niche manufacturing segments. Please visit CHIEFcap.com for more information.
About Source Capital
Source Capital is a private investment firm focused on providing flexible equity and debt capital to lower middle-market companies across a range of industries. Source Capital's investment strategy targets growing companies with greater than $2 million in EBITDA seeking a growth-oriented partner. Since its founding in 2002, Source Capital has made 25 equity platform investments and 52 add-on acquisitions as well as 41 debt investments through its credit platform (four separate credit funds), which was formed in 2011. To learn more about Source Capital or to discuss a new equity or debt investment opportunity, please visit source-cap.com, our LinkedIn page, or reach out to a member of our investment team.