We Help Management Build Better Businesses
Cortec Group is a private equity firm with more than 30 years of experience acquiring primarily entrepreneur-owned U.S. and Canadian middle-market companies and working with management to build them. Our success in creating better and larger businesses has enabled us to deliver strong returns to our investors.
What You Can Expect
Cortec Group is genuinely different than other private equity firms. We visit a limited number of companies each year, use highly experienced senior team members to quickly assess them, work closely with our management teams to build value, and generate attractive investor returns by consistently applying our business model.
Cortec Group has a cohesive team, led by Managing Partners who have worked together for nearly 15 years. We have built our firm with talented and diverse personnel who have meaningful operating, private equity, and transaction experience.
Since inception, Cortec Group has acquired more than 75 U.S. and Canadian middle-market companies and raised six institutional funds with aggregate capital commitments of more than $2.6 billion.
Get To Know Us
If you’d like to learn more about Cortec Group, send us an email, give us a call, or stop by our offices.
Business BuildersCortec Group principals work hand-in-hand with the leadership teams of the various companies in which we invest, building businesses that will stand the test of time.
We devote time and capital to people, process, systems, and other resources to facilitate sustainable, long-term growth.
We work with management teams to develop strategic and tactical priorities that will guide the company forward.
We collaborate with and, as needed, supplement our management teams to sustain or accelerate growth.
We use our broad-ranging business experiences to stimulate new product or service development and effect global supply chain excellence.
We know how to grow sales teams and drive them to successfully penetrate new markets, channels, and geographies.
We work with our management teams to create and implement sophisticated marketing programs, including traditional, social, and digital initiatives.
Differentiated ApproachCortec Group brings resources with diverse experiences to assess and quickly close investments and to add real value to our companies post-closing.
The same group that performs due diligence stays with each company throughout our investment. Management views us as an extension of their team and equally dedicated to their success.
We have well-rounded teams comprised of professionals with business and transaction experience who are dedicated to rapidly understanding the companies we review.
Former executives and entrepreneur-partners have committed significant capital to Cortec’s funds, complementing our stable base of blue-chip limited partners.
We have consistently delivered top quartile (or better) returns under Cortec's leadership team.
We are highly discerning regarding which companies we visit and pursue.
We interact and communicate regularly with our management teams, without the need for formal board meetings or high-level presentations.
We invest in highly-profitable middle-market specialty healthcare, B2C and B2B products, distribution, eCommerce, and services companies with revenues of $40-$300 million, strong cash flows, and identified opportunities for Cortec Group to add value.
- Revenues of $40 to $300 million
- EBITDA of $7 to $35+ million
- A proven ability to drive demand for its products or services
- Attractive margins
- Strong free cash flow generation
- High growth with owners who want an experienced teammate or steady performance but in need of changes to accelerate growth
- Entrepreneur-owned and/or controlled companies
- Owner/senior leadership transition
- Private equity-owned
- Corporate carve outs
- Incomplete management teams
- Control investments
Track RecordWe have a long track record of building great businesses and generating attractive returns for our management teams and investors.
InvestorsCortec Group has built long-term relationships with a broad range of investors with which we have aligned our interests by consistently committing significant personal capital to our funds. Cortec has assembled a diverse group of blue-chip limited partners, including a number of portfolio company leaders. Many of our investors have committed capital to multiple Cortec funds – we believe this is the result of our differentiated business model and track record.
What You Can Expect
TestimonialsSee and hear what founders and executives say about the Cortec experience.
Despite higher offers from some other private equity firms, we chose Cortec because of their prior successful medical products investments and experience growing entrepreneur-led businesses through sales team development. Cortec was absolutely the right partner for us, as they helped us thoughtfully, quickly, and significantly scale the business. As a result, I made more money in my “second bite of the apple” than I did through my sale to Cortec (and had a lot of fun along the way)!
My brother and I chose Cortec because of their experience investing in entrepreneur-led, high-growth businesses. They've helped us focus on the right priorities for the business, and they've been instrumental in helping us think through key strategic decisions at various points in our growth. We’ve worked hand-in-hand to build new leadership teams across all functional areas, grow our brand through new product introductions and extensive marketing initiatives, implement new IT systems, and evolve our business processes. They’ve helped us scale the business to effectively manage very rapid growth - without them I know we wouldn’t be where we are today!
From the first time we met, Cortec stood out in their understanding of our business, energy level, and commitment to investing in our growth and future success. They have truly been my partner every step of the way, as we’ve grown organically and through a number of acquisitions, which has been extremely valuable to me as both a CEO and also a continuing owner of the business.
Our team was seeking a teammate to help us rapidly expand our veterinary practice management business through a buy and build strategy, while maintaining our culture and dedication to patient care. I had known the Cortec team for many years as an investor in several of their funds and believed in their business model, so when they agreed to meet my valuation expectations, choosing to work with them exclusively was easy. Since closing, Cortec has been an ideal partner, providing us with strategic guidance, helping us build the leadership team, and making the requisite investments in processes and infrastructure.
After leading Weiman for over 30 years, I wanted a private equity firm that could help me promptly transition to a board role post-closing and grow the company after my departure. Cortec successfully recruited a new CEO, facilitated my transition, and helped shape a promising direction for the future, all while respecting Weiman’s heritage and culture.
Making the decision to sell the business that my great-grandfather started more than 75 years earlier was extremely personal. When I eventually decided to transition out of the day-to-day CEO role to Chairman, my confidence that I had selected a trusted and hands-on private equity partner was fully confirmed. I chose Cortec due to their experience and numerous successes transitioning businesses from entrepreneurial to institutional ownership, willingness to be intimately involved in the business during and following a leadership transition period, stellar reputation, and my trust and confidence in the sincerity and focus of their team of professionals.
The Cortec team worked throughout the investment period to support management's initiatives to diversify and grow the business, refine systems and controls, attract additional talent, and retain the key team members who founded the business. They honored their commitments and, together, we generated a terrific outcome.
As a former private equity investor with significant healthcare experience, I knew exactly what I wanted in a partner to help build my multi-site surgical eyecare business. Cortec brought it all to the table: i) significant multi-site healthcare experience; ii) a long track record of success investing in the healthcare industry, both in products and services; and iii) a “hands-with” approach to help me and my team wherever and whenever we needed them. While I hired an investment banker, I very quickly elected to work exclusively with Cortec as a majority owner/partner. This was a good decision, as Cortec delivered on everything they told me going into the process, and closed on time and at the promised valuation.
For Owners & ManagementWe respect the company that has been built; management retains leadership and we offer advice, encouragement, and assistance, as needed. If senior leadership wishes to transition out, we will facilitate this process; we are experienced and comfortable managing change.
We rely on management teams to lead their businesses, but know how to drive strategic and tactical priorities, build talented organizations, help manage rapid growth, and manufacture, source, and sell globally.
Capital For Growth
We use our capital and team to help assess and fund internal growth initiatives and acquisitions; we only complete add-on acquisitions with management’s involvement and support.
We provide senior management with opportunities for professional growth and financial enrichment through equity and options programs.
Do What We Say
Partnerships are built on trust. We will exceed your expectations.
We have the skills to add value where needed and wanted; we work with management as a teammate, not a second-guesser.
Prudent Use of Debt
We won’t put too much leverage on your company; equity capital is typically more than 50% of our purchase price.
For IntermediariesWe know your and your client's time is valuable. We are highly selective about the companies we visit, quickly and candidly assess opportunities, and our capital base, reputation, and track record bring certainty of close to transactions.
We close transactions quickly, at attractive valuations, and with minimum disruption to your client’s business.
Our reputation, capital base, and thoughtful use of leverage provide certainty of close.
We have a long track record of helping build great businesses and generating attractive returns.
We only visit companies we want to own; we bring senior partners with the authority to speak for our firm and the capability to quickly understand your client’s business.
We have a demonstrated ability to work through transaction issues that could cause other buyers to renegotiate or walk away.
We do our homework, only submitting indications after we have thoughtfully assessed the fit of your client’s company with our acquisition criteria.
For InvestorsOur team, collaborative approach with management, and focused business model have yielded strong returns, engendering long-term investor partnerships.
Under current leadership, we have delivered consistently strong returns to investors and our performance ranks us among the most successful U.S.-based private equity firms.
Our Managing Partners have worked together for nearly fifteen years. Throughout this period, we have had very limited turnover among personnel while meaningfully expanding our team.
We are an experienced and knowledgeable investor in healthcare products and services, B2C and B2B products, value-added distribution, and specialty services companies.
We primarily acquire businesses where an entrepreneur wants a teammate to help foster sustainable, long-term growth and/or a critical management transition is taking place. We use our experience to address and capitalize on these opportunities.
Our principals have invested or committed to invest significant percentages of our net worth alongside our limited partners. Carried interest is spread broadly and deeply throughout the firm.
Many of our investors have participated in successive Cortec Group funds. We believe our long-term limited partner relationships are the result of consistently doing what we say and our compliance-oriented culture.
TeamCortec Group has a cohesive team, led by Managing Partners who have worked together for nearly 15 years. We have built our firm with talented and diverse personnel who have meaningful operating, private equity, and transaction experience.
David L. SchnadigManaging Partner
Jeffrey A. LipsitzManaging Partner
R. Scott SchaflerManaging Partner
Michael E. NajjarManaging Partner
Jonathan A. SteinPartner
Jeffrey R. ShannonPartner
Eugene P. NesbedaSenior Managing Director
James W. ("Bill") TuckerManaging Director
Douglas R. KruepManaging Director
Robert W. WhippleManaging Director
Ajay ChokshiManaging Director
Allison Sacks KlazkinVice President
Jack T. MinerVice President
Jacob S. GrossettiSenior Associate
Jessica D. PalfreyAssociate
Nicholas M. CooperAssociate
Michael S. NeubergerChief Financial Officer
Kim OrtizStaff Accountant
Tina ChiuOffice Manager
Deb MillerExecutive Assistant
Betsy KrollExecutive Assistant
Cortec Fund VI
Center for Vein Restoration
Based in Greenbelt, Maryland, Center for Vein Restoration is a leading manager of medical clinics providing treatment for varicose and spider veins. CVR centers, primarily located in the Mid-Atlantic and Northeastern U.S., offer high-quality diagnostic and treatment services for various grades of chronic venous insufficiency, including ultrasounds, ablations and sclerotherapy. CVR is the leading physician led provider of management services to vein clinics in the U.S.
Chauvet, based in Sunrise, Florida, is a leading developer and marketer of branded entertainment and architectural lighting products, trussing, controllers and related equipment used in applications ranging from DJ, club, corporate events, hospitality venues, and houses of worship, to more demanding settings including concert tours, theaters, television and “architainment.” The Company serves customers throughout the world from its facilities in the U.S. (Florida and California), United Kingdom, Belgium and Mexico as well as via a global network of approximately 2,000 authorized dealers and distributors.
Headquartered in Denver, CO, EVP EyeCare (including the operations of Kleiman Evangelista Eye Center) operates 11 ophthalmology clinics and five ambulatory surgery centers that are exclusively focused on the treatment of ophthalmic conditions. EVP EyeCare has built a leading regional provider of eye care services through an expert team of physician specialists, advanced surgical and treatment technology, and a culture of high quality patient care. EVP EyeCare’s facilities are located in the Denver, CO metro area, Grand Junction, CO and greater Dallas, TX regions and provide a range of eye care procedures and services, including cataract surgery, laser vision correction, corneal surgery, and a variety of treatments for glaucoma and retina conditions.
Headquartered in Richmond, Virginia, Groome is a leading specialty ground transportation provider operating across numerous states and in two segments: Airport Shuttle, which offers medium- to long-haul scheduled van service between major airports and distant regional markets; and Contract, which provides contracted closed-loop campus shuttle services to academic and institutional clients. Founded in 1934 by the Groome family, the company provides safe, reliable, and comfortable transportation to millions of airport shuttle passengers annually and partners with blue-chip universities and hospitals across the U.S. to manage their campus transportation programs.
Headquartered in Fulton, Maryland, Window Nation is a value-added distributor of replacement windows, doors, roofing and siding products, exclusively for residential repair and remodeling applications. Founded in 2006 by brothers Harley and Aaron Magden, Window Nation serves states across the Mid-Atlantic and Midwest regions of the U.S. and continues to expand into new markets. Window Nation sells directly to homeowners through its network of exterior design consultants and offers a broad range of products at varying price points, as well as providing installation services from licensed professionals.
Cortec Fund V
Based in Austin, TX, YETI is the leading designer and marketer of premium, rotationally molded coolers, accessories and related gear sold under the YETI® brand. The Company has experienced rapid growth and holds the #1 market position in the premium cooler category. YETI currently sells to a broad-based “enthusiast” customer group through a diverse range of national, regional, and local retailers serving a variety of end markets, including specialty hunting and fishing, outdoor sporting goods, hardware, farm and ranch supply, and oilfield services, among others. The Company’s authentic outdoor lifestyle brand is revered by a passionate base of consumers who appreciate the unmatched performance and toughness of YETI’s rotationally molded premium coolers.
Harmar Mobility, LLC
Based in Sarasota, Florida, Harmar is a leading designer, manufacturer, and marketer of mobility and accessibility solutions for individuals who use power wheelchairs/scooters or are otherwise mobility impaired. The Company’s core products include vehicle lifts, stair lifts, vertical platform lifts, residential elevators, ramps and bath lifts, among others. Harmar’s products are sold by a direct sales force to customers in five primary distribution channels. The Company’s products are marketed under company-owned brands (Harmar®, Summit™, Pinnacle™, Alpine™, Freedom Seat™) and under certain customer private labels.
Based in Chicago, Illinois, Barcodes is a leading distributor of automatic identification capture (“AIDC”) products, selling primarily to small and medium-sized businesses and select Fortune 500 customers. The Company’s AIDC products, which include barcode scanners, mobile computers, label printers, point-of-sale systems, identification cards, RFID equipment, and other related consumable products, allow customers to improve productivity and profitability in their businesses. Barcodes maintains strong relationships with many of the premier manufacturers in the industry, and effectively couples a strong web-site presence with technical sales capabilities to serve its customers.
Canadian Hospital Specialties
Based in Oakville, Ontario, CHS manufactures, sells, markets and distributes disposable medical and surgical products primarily to the Canadian hospital market. The company’s product portfolio is comprised of more than 5,000 highly clinical products such as nursing and anesthesia procedure kits/trays, stents, enteral safe feeding systems, tracheal suction products, chest drains, gastrostomy tubes, needles, catheters, vascular grafts, among many others. The company distributes its own manufactured products, which are marketed under the company’s MED-RX® brand or are private labeled for the company’s OEM customers, as well as products supplied by the global medical device manufacturers with which it partners.
Based in Gurnee, Illinois, Weiman is a leading provider of premium branded specialty cleaning products for the consumer market and specialty cleaning, sterilization and disinfectant products for the healthcare market. Weiman’s consumer division produces, markets and distributes a branded portfolio of niche specialty cleaning, bath repair and air care products that address distinct needs within the home. The Company’s portfolio of brands includes Weiman®, Goo Gone®, Magic®, Natural Magic®, Stone Care International®, Wright’s®, Gonzo®, and OOPS!® Paint Remover. Weiman’s healthcare division develops and manufactures over 60 healthcare formulas, consisting of detergents, instrument care solutions, high level disinfectants for processing surgical instruments, and general surface disinfection products.
Based in New York, NY, Vidaris and LPI are leading specialty architectural and engineering consulting firms, respectively, providing highly technical, value-added advisory, inspection and testing services. The Company employs over 200 professionals in eight offices worldwide and serves as an independent third-party advisor for leading developers, property owners, industrial operators, utilities, architects and engineers. The Company’s multidisciplinary, integrated service offering includes three major segments: (i) Building Envelope: wall, window, roof and restoration consulting; (ii) Engineering: fitness-for-service and failure analysis; and (iii) Energy: building sustainability /energy efficiency consulting.
Based in Elmsford, NY, Urnex manufactures and markets coffee machine cleaning products to a variety of end markets in more than 70 countries. The Company offers a comprehensive portfolio of coffee machine cleaning, descaling and sanitizing products in a variety of forms (e.g., liquid, tablet, powder, etc.) which are sold under the Urnex®, Puro®, and Full Circle® brand names, among others. These products are sold to leading coffee chains, foodservice providers, machine manufacturers, and retailers.
Based in Wilmington, NC, 101 Mobility® is a leading franchisor and operator of mobility and accessibility dealers located throughout the United States. 101 Mobility’s dealers primarily focus on the sale, installation and service of mobility and accessibility products to consumer and commercial customers. The Company’s offering includes a variety of branded and private label products such as vehicle lifts, stair lifts, vertical platform lifts and ramps among others.
Community Veterinary Partners
Headquartered in Philadelphia, PA, CVP manages a network of veterinary hospitals located predominantly in the northeastern U.S. CVP hospitals have the benefit of accessing a variety of business tools (marketing, leadership development, HR support, finance and more) while keeping local control of clinical medicine. CVP’s mission is to support its veterinary hospitals, enabling veterinarians to focus on practicing medicine and providing high quality care to pets.
© 2018 Cortec Group Management Services, LLC