SAN FRANCISCO, Ca. and THOMASTON, Ga. — Golden Gate Capital, a leading private equity investment firm, and Tidal Wave Auto Spa Founder and CEO Scott Blackstock have announced the recapitalization of Tidal Wave, one of the largest and fastest growing premium conveyor carwash chains in the U.S., according to a press release.
Blackstock will continue to lead the company as CEO and will remain a significant shareholder, and the company will continue to be headquartered in Thomaston, Georgia, the release continued.
Terms of the transaction were not disclosed.
Founded in 1999, Tidal Wave’s current footprint consists of over 60 locations across 11 states in the Southeast and the Midwest, and its unit count has grown 50% annually since 2017, the release added.
“Thanks to our talented and dedicated team members and joint-venture partners, Tidal Wave has grown rapidly over the past two decades, establishing itself as an industry leader. Our success is driven by our unwavering commitment to providing customers with the highest-quality washes, maintaining best-in-class locations that are a pleasure to visit and delivering top-tier customer service at every visit,” said Blackstock. “Golden Gate Capital is aligned with our long-term vision of continuing to redefine the carwash industry, and we are confident they are the perfect partner for the next leg of our journey. Golden Gate Capital will provide invaluable multi-unit consumer and real estate industry expertise and additional development resources, which will fuel our continued expansion across the U.S.”
Mike Montgomery, managing director at Golden Gate Capital, said, “Tidal Wave is exactly the type of business with which Golden Gate seeks to partner. Scott has reimagined the carwash experience by leveraging proprietary technology to deliver exceptional quality while prioritizing continuous improvement and unbeatable customer service. These efforts — coupled with the company’s innovative unlimited wash club program — have resulted in impressive customer loyalty and a strong track record of growth. Tidal Wave’s multi-unit platform, significant real estate development opportunities and data-centric customer approach aligns with Golden Gate’s core consumer capabilities.”
Neale Attenborough, operating partner at Golden Gate Capital, added, “We have tremendous respect for Scott and the amazing and innovative Tidal Wave management team, who have consistently delivered outstanding quality and growth. We look forward to working together to accelerate the company’s trajectory through organic growth at existing sites, aggressive new unit expansion and an enhanced acquisition program.”
Ropes & Gray LLP and Nob Hill Law Group P.C. served as legal advisors to Golden Gate Capital.
Troutman Pepper Hamilton Sanders LLP served as legal advisor and J.P. Morgan Securities LLC served as financial advisor to Tidal Wave.
Be sure to check out our follow up interview with Scott Blackstock in the below Newsmakers video.