PE Hub first identified a wave of private equity firms snatching up car wash businesses back in spring 2022. Interest has continued to pick up over the last two years, including a deal from KKR, announced earlier this week.
“The professional investor class has discovered the appealing attributes of the car wash business: the basic service, strong margins, low working capital, labor-efficient, recurring revenue base, and that the industry is highly fragmented and ripe for consolidation,” explained Gary Dennis, a founding partner at Mammoth Holdings, a Red Dog Equity portfolio company that has been active in consolidating the...
