Nashville, Tenn., April 14, 2014 – Gen Cap America, Inc., a leader in the middle market buyout niche in the Southeast, announced today the company has sold Van Pool Transportation after a successful relationship. Gen Cap America acquired Van Pool in 2008 with capital from its fund, Southvest Fund V.
The buyer, Boston-based Fort Point Capital, is a private equity firm that invests in middle market, service-oriented companies.
“The relationship between Gen Cap and Van Pool was very successful for both companies,” said Gen Cap America Senior Vice President Matt Lane. “Van Pool’s differentiated service model and its strong management team, led by CEO Kevin Hinkamper, were key factors in Gen Cap’s investment in Van Pool nearly six years ago, and we believe those same resources will usher in its next successful chapter of growth.”
Based in Wilbraham, Mass., Van Pool works with more than 100 school districts across New England to provide transportation services to students with special needs. When its founder retired in October 2008, Van Pool’s management team partnered with Gen Cap America to recapitalize the organization.
While terms of the transaction are not publicly available, Lane noted that Gen Cap sold Van Pool for more than eight times its original investment. “Both companies exit this relationship well positioned for the future,” Lane said.
The move continues an impressive 25-year run, in which each of the Gen Cap investments has made a profit for investors.
“The collaborative partnership between Van Pool management and Gen Cap America led to unprecedented growth for the company,” said Hinkamper. “We look forward to continuing that growth with our new partner.”
Gen Cap America, Inc. is a Nashville-based private equity firm that provides equity for management buyouts, division spinoffs, and recapitalizations of profitable, well-established middle-market businesses. For more information, visit www.gencapamerica.com.