Investcorp acquires Shearer Supply

Investcorp, a Bahrain-based alternative investment manager, has made a majority investment in Shearer Supply, an independent specialty distributor of essential heating, ventilation and air conditioning (HVAC) equipment for residential and commercial properties in the United States.

The previous owners of the company, including Shearer’s management team, the Shearer family and PNC Riverarch Capital will re-invest meaningfully alongside Investcorp and remain shareholders in the company.

Founded in 1983, and headquartered in Dallas, Texas, Shearer is one of the largest independent distributors of HVAC products in the United States, serving over 5,500 clients from 22 branches across Texas, Oklahoma, Arkansas, Tennessee and Louisiana.

Shearer distributes a comprehensive set of products including residential and commercial HVAC equipment and parts from over 120 suppliers including American Standard, Ameristar and Samsung.

“Shearer operates in a large, resilient and highly fragmented market driven by non-discretionary replacement demand, which we expect to continue to benefit from strong secular tailwinds including an aging housing stock, shortening replacement cycles and favourable regulation, in addition to its attractive Southern US geographic footprint where higher average temperatures and a growing population are increasing the demand for HVAC products. We are excited to partner with the Shearer family to drive organic growth and further expansion,” said Dave Tayeh, head of private equity North America at Investcorp.

“Today’s announcement marks an important continuation of our strategy to identify and collaborate with high-potential businesses across a diverse range of sectors and markets globally,” said Yusef Al Yusef, head of Investcorp Private Wealth.

“In a fragmented industry with huge growth potential, Shearer combines robust and resilient fundamentals with strong cash flow, and together we are well-placed to take advantage of the opportunities for expansion in the fast-growing HVAC market.”

“Investcorp has an established history of working with companies like Shearer and has demonstrated a strong track record in HVAC and specialty distribution,” said Michelle Shearer-Rodriguez, chief executive at Shearer Supply.

“We are looking forward to partnering with them on our next phase of growth and leveraging their strong industry insights.”

Source: https://www.gdnonline.com/Details/1229224/-Investcorp-acquires-Shearer-Supply