IMB Partners Leads a Strategic Growth Investment Into Carr & Duff
IMB Partners and Carr & Duff will partner to support the next phase of the company’s growth
BETHESDA, MD, AND HUNTINGDON VALLEY, PA, MARCH 15, 2022 – IMB Partners (“IMB”), a leading middle market private equity firm specializing in utility and government agency services, today announced that it has agreed to make a strategic investment in Carr & Duff (“C&D”), a southeastern Pennsylvania corporation providing specialty electrical construction services.
Founded in 1958, C&D has established itself as a premier electrical contractor in the Greater Philadelphia and Tri-State Area, with services that reach customers across the East Coast. With over 60 years of experience, C&D has secured a trusted reputation for tackling complex electrical construction projects in a manner that is safe, timely and high-quality. Among its wide-ranging set of customers are utilities, transportation providers, commercial, industrial, educational and medical facilities, and many other Mid-Atlantic customers. The Duff brothers, Bob, Eddie and Jack, will continue to work in the business and retain meaningful ownership going forward.
“Carr & Duff has set the industry standard for specialty electrical services,” said Tarrus Richardson, Founder and CEO of IMB Partners. “We look forward to partnering with the Duff brothers and the senior management team as we seek to expand the company’s highly diversified customer base, broaden its geographic reach and bolster its offering alongside emerging trends in utility, communication and infrastructure markets.”
IMB and its principals have invested over $800 million of capital in over 30 platform and add-on investments, setting itself apart through its differentiated value creation process and emphasis on valuing partnership and people first, believing diversity and inclusion requires intentionality and maintaining an entrepreneurial approach in all dealings. The electric utility sector is forecasted to spend billions of dollars on maintenance and new infrastructure in response to the increased national focus on updating outdated infrastructure and increased demand from population growth. Simultaneously, there is more awareness and interest from the electric utility industry to do more business with companies that are good corporate citizens in their local markets. The convergence of these factors positions IMB Partners to be a value-added partner to suppliers, like Carr & Duff.
“I have grown up with this business and seen the industry evolve through tremendous change, from several macroeconomic downturns to a renewed interest in the infrastructure of our country,” said Robert Duff, President of C&D. “Our reputation for excellence in electrical construction has held steady through it all, and we are thrilled to continue growing alongside IMB, a partner that shares our vision of extending the reach of Carr & Duff even further.”
IMB brings to its investment critical experience in the Philadelphia utility services market through its partnership with project and construction management company LaFata Contract Services. As a middle-market company in a core sector, C&D is a natural fit for IMB’s growing portfolio.
MidCap Financial (“MidCap”), a middle market-focused, specialty finance firm that provides senior debt solutions and an affiliate of Apollo Global Management, Inc. provided senior debt financing for the transaction and Gemspring Capital Management (“Gemspring”), a firm with $1.5 billion of capital under management additionally provided preferred and common equity.
About IMB Partners:
Founded in 2010, IMB is a private equity independent sponsor focused on investing and partnering with management teams to grow lower middle market companies serving government agencies and electric and gas utilities. IMB believes that diversity is an asset and takes an entrepreneurial approach to building companies of scale. IMB seeks platform investment targets with $5-$25 million in EBITDA and will go as low as $1 million in EBITDA for add-on investments. Learn more at imbpartners.com or connect with us on LinkedIn.
About Carr & Duff:
Carr & Duff, Inc. is a family-owned business with 60 years of electrical construction excellence serving not just the Philadelphia Metropolitan Area but has served utilities and customers up and down the East Coast. The business is a marketplace leader in providing value added electrical construction services to commercial, institutional, utility and industrial clients. Carr & Duff, Inc. has proven itself repeatedly with numerous accolades for many of their various projects.