The Bottom Line: NewSpring Invests in Vac2Go
April 11, 2023
NewSpring, a family of private equity strategies, announced today that NewSpring Mezzanine, the Firm’s dedicated private credit strategy, has invested mezzanine debt and preferred equity to support Argosy Private Equity’s acquisition of Vac2Go, LLC (Vac2Go).
Vac2Go is a provider of mission-critical vacuum equipment to industrial, utility, and municipal customers
Founded in 2011 and headquartered in Louisville, Kentucky, Vac2Go offers daily to multi-month rentals of the latest model vacuum trucks and equipment to industrial service contractors, environmental contractors, the construction, excavation, and utility industries, and to state and local municipal governments. Additionally, Vac2Go provides repair and maintenance services for vacuum trucks and related equipment at all its facilities. The company has offices in Kentucky, Tennessee, Ohio, Alabama, South Carolina, Indiana, and Texas.
The company operates in an expanding market experiencing strong demand
A surge in government infrastructure spending on projects that require vacuum trucks combined with long lead times on the construction of new equipment has significantly increased demand for rental vacuum equipment. Vac2Go has successfully expanded its geographic reach through new branch openings and anticipates continued growth considering the strong demand for its high-quality rental fleet across the U.S.
Vac2Go has a high-quality rental fleet and a diversified customer base
Vac2Go has built longstanding relationships with a wide range of customers, many of which have lasted more than 10 years. A significant driver of this customer loyalty stems from the company’s constantly expanding fleet of extremely high-quality rental vacuum trucks and equipment.
“Our continuously growing customer base trusts us to provide them with the highest-quality vacuum equipment and services on the market. Building these relationships has helped our company continue to expand into one of the largest providers of rental vacuum trucks and equipment in the nation. With NewSpring’s support, we’re excited to continue our company’s growth into new geographies as investing in our country’s infrastructure remains a priority for municipalities across the U.S.”
Vac2Go is operated by a strong, growth-oriented management team
Vac2Go is led by a management team with significant operating experience and strong industry connections. With 47 full-time employees, the company is well positioned for future growth as demand for vacuum equipment and services continues to rise.
“Vac2Go has demonstrated a strong track record of growth expanding its vacuum truck and equipment rental services into new geographies across the U.S.. Given the growing amount of government spending on infrastructure projects, we see plenty of runway for Vac2Go to continue to expand. We’re excited to partner with Argosy and the Vac2Go team to help this business reach new levels of success.”