New York, NY, November 16, 2015. Blackstone (NYSE: BX) announced today that private equity funds it manages have agreed to sell GCA Services Group, Inc. (“GCA” or the “Company”) to a consortium of the Merchant Banking Division of Goldman Sachs (“Goldman Sachs”) and Thomas H. Lee Partners.
GCA is a leading national provider of janitorial/custodial and facility management services to over 930 customers, including ~20% of the Fortune 500, across 4,400+ sites and 46 states, the District of Columbia, and Puerto Rico. Founded in 2003 and based in Cleveland, Ohio, GCA has more than 37,000 employees and serves clients across diverse end-markets, including K-12 schools, higher education, manufacturing, corporate office buildings, high-tech, bio-pharmaceutical, nuclear power, defense and the rental car market.
Peter Wallace, Senior Managing Director at Blackstone, commented, “We are extremely proud of the significant growth and value creation at GCA during our ownership. It has been a privilege to partner with Bob Norton and the outstanding GCA management team in their efforts to expand a best-in-class national provider of janitorial and facility management services. We wish the management team and the Company continued success in the years to come.”
Bob Norton, Chairman and CEO of GCA added: “We appreciate the guidance, confidence, and support of the entire Blackstone team in helping us fuel our continued growth over the past three years. They have been terrific partners and played an important role in helping us achieve our success. We are also excited about our new partnership with Thomas H. Lee Partners and Goldman Sachs, as well as the tremendous opportunities ahead to continue to grow our business in the attractive facility services market.”
The transaction is subject to customary closing conditions and is expected to close in the first quarter of 2016. Harris Williams & Co. served as advisor to Blackstone and GCA and Simpson Thacher & Bartlett LLP acted as legal counsel.
Blackstone is one of the world’s leading investment firms. We seek to create positive economic impact and long-term value for our investors, the companies we invest in, and the communities in which we work. Our asset management businesses, with over $330 billion in assets under management, include investment vehicles focused on private equity, real estate, public debt and equity, non-investment grade credit, real assets and secondary funds, all on a global basis. Further information is available at www.blackstone.com. Follow Blackstone on Twitter @Blackstone.
About GCA Services Group
GCA Services Group, Inc. is a leading national provider of quality facility services, including janitorial/custodial services, contamination control for cleanroom manufacturing, facilities operations and maintenance services, grounds and athletic field management services, diversified staffing, and more. With over 37,000 employees throughout the United States and Puerto Rico, GCA serves over 930 clients in a variety of sectors, including K-12 schools, higher education, manufacturing, corporate office buildings, high-tech, bio-pharmaceutical, nuclear power, defense, the rental car market, and others. For more information, please visit www.gcaservices.com or follow GCA on Twitter, @gcaservices.
Forward Looking Statements
This announcement may contain forward-looking statements, including statements about the completion of the purchase of GCA, anticipated benefits of the proposed transaction and other matters that are not historical facts. Such forward-looking statements are subject to various risks and uncertainties. Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. Blackstone does not undertake any obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise.