NEW YORK – KKR, a global investment firm, has acquired Neighborly, a provider and franchisor of home service brands. KKR acquired Neighborly from Harvest Partners, and financial details of the transaction were not disclosed.
Founded in 1981, Neighborly connects more than 10 million residential and commercial customers with a community of professional services focused on repairing, maintaining and enhancing consumers’ homes and properties. Through a portfolio of 28 brands, including Mosquito Joe, the company offers a wide array of services including plumbing, pest control, restoration, electrical, cleaning, HVAC, home inspection and many more. Neighborly has built a network of more than 4,800 franchises both in the U.S. and internationally.
“Today’s milestone is a strong validation of our business-building strategy and differentiated ability to deliver essential home services," said Mike Bidwell, president and CEO of Neighborly. "We are excited to embark on our next chapter of growth with KKR’s support and global expertise and look forward to continuing to be a partner of choice for both customers and franchise owners in the years to come.”
“In a large and highly fragmented industry, Neighborly stands out for its differentiated strategy of bringing together adjacent services under a diversified and tech-enabled platform, and – most importantly – for its unrivaled dedication to customer service," said Felix Gernburd, managing director at KKR. "We are thrilled to be investing in the Neighborly team as they continue to execute on their mission: enriching people’s lives by delivering amazing experiences.”
KKR is making the investment in Neighborly from its North American private equity fund. Harris Williams is acting as financial advisor to Neighborly, with White & Case acting as a legal advisor on the transaction. The transaction is expected to close in Q3 2021, subject to regulatory approvals and other customary closing conditions.