Los Angeles, CA — December 3rd, 2018 (BUSINESS WIRE) — Emerald Textiles, a portfolio company of Los Angeles-based private investment firms Pacific Avenue Capital Partners, LLC (“Pacific Avenue”) and Highland Avenue Funds, LLC (“Highland”), announces the acquisition of the assets of Mediclean Linen and Laundry, a Los Angeles-based healthcare linen service provider. The acquisition expands the footprint of the largest healthcare linen provider in California, with Emerald now having a total of six locations on the West Coast.
“We are excited to add the Los Angeles location to our network of facilities. The Los Angeles location provides Emerald Textiles with a strong foothold in Southern California, and further enhances Emerald’s existing network of linen processing facilities. This acquisition also allows the company to expand its world class services to meet the needs of customers in both Northern and Southern California. Emerald is committed to providing the best value-proposition for current and future customers and we look forward to continuing to provide an extremely high level of service in the Los Angeles Market,” said Greg Anderson, CEO of Emerald Textiles.
Under Pacific Avenue and Highland’s ownership, Emerald Textiles has grown through significant new customer wins, a universal commitment to providing high levels of service to the customer, the acquisitions of two southern California linen processing facilities, and material investments to upgrade existing facilities and equipment.
As part of the asset acquisition, Emerald will immediately undertake a “re-tooling” of the Los Angeles facility to upgrade its equipment. The capital plan includes more than $6.0 million of investment to ensure that the Los Angles facility upholds the same level of quality and efficiency found across the entire Emerald network.
Chris Sznewajs, Co-Founder and Managing Partner at Pacific Avenue, stated, “This acquisition represents a continuation of our effort to build a world-class healthcare linen provider that can serve the needs of the entire California and west coast market. We are excited about our expansion into the Los Angles market and the already underway $6.0 million capital expansion plans to ensure an efficient and state of the art facility while upholding Emeralds commitment to providing world class service to our customers in an environmentally responsible way.”
Northleaf Capital Partners and AIG provided the debt financing for this transaction. Jones Day acted as Buyers counsel. Latham & Watkins LLP, Paul, Weiss, Rifkind, Wharton & Garrison LLP provided debt counsel.
About Pacific Avenue Capital Partners
Pacific Avenue Capital Partners, founded by Chris Sznewajs, is a Los Angeles-based private investment firm. Pacific Avenue, in conjunction with its operating executives, partners with exceptional management teams to assist businesses in unlocking value and reaching their full potential. Pacific Avenue has a unique experience base in industrials, business services, healthcare services, and business products that allows the firm to differentiate itself from traditional private equity. Pacific Avenue’s current portfolio has more than $750 million in combined revenue. For more information, please visit www.pacificavenuecapital.com.
About Highland Avenue Capital Partners
Highland Avenue Capital Partners, founded by Chris Bryan, is a Los Angeles-based private investment firm with deep expertise in operations and growth enhancement in the middle market. Highland Avenue acquires controlling interests in businesses across multiple industries including specialty distribution, healthcare services and business services. For more information, please visit www.highlandavefunds.com.
About Emerald Textiles
Emerald Textiles is the leading industrial healthcare laundry and linen service business on the West Coast Emerald Textiles was created through the combination of Emerald Textiles and Encore Textile Services in July 2018. The company has facilities in Los Angeles, San Diego, Turlock, and La Selva Beach, CA as well as Reno, NV. For more information, please visit www.emeraldus.com.
Pacific Avenue Capital Partners