Blackstone Acquires Champions Group
Blackstone has entered into a definitive agreement to acquire Champions Group, a prominent U.S. home services provider, from Odyssey Investment Partners. The deal, for which terms were not disclosed, represents a classic private equity strategy of building a platform in the fragmented home services sector. The acquisition was made through Blackstone's perpetual private equity fund, signaling a long-term investment horizon.
- According to reports, the acquisition values Champions Group at approximately $2.5 billion. - The deal includes a significant minority rollover investment from the seller, Odyssey Investment Partners, and the current Champions Group management team, signaling their continued confidence in the company's growth prospects. - Odyssey Investment Partners acquired the company, then known as Service Champions, from CenterOak Partners in January 2021 and grew the platform through a series of add-on acquisitions of local brands. - Champions Group's business model focuses on the non-discretionary residential repair and replacement market and generates recurring revenue through a membership program that covers approximately 150,000 households. - The sell-side financial advisors for Champions Group and Odyssey were William Blair (lead), with Piper Sandler and Baird acting as co-financial advisors. - Blackstone's stated strategy is to continue the "buy-and-build" approach, using Champions as a platform to further consolidate the fragmented home services market and create a multi-service provider. - Champions Group operates a portfolio of 19 brands with over 1,800 technicians across seven states, including California, Arizona, Texas, and Washington.
