Case Study: Pebble Technology
Partnering With a Top-Tier Provider
Pebble Technology, Inc (“PebbleTec” or the “Company”) is a leading global marketer and distributor of premium hardscaping solutions for pools and outdoor surfaces. The Company provides premium pool aggregate finish, pool and outdoor tiles, outdoor water and fire features, and other outdoor accessories. PebbleTec was founded in 1989 and headquartered in Scottsdale, Arizona.
Transaction Dynamics
- The founders had transitioned from the business before the transaction and managed from abroad
- Seaside partnered with the management team to acquire the equity interest of the founders in September of 2018
- Seaside provided a comprehensive solution for the founder and management team to transition ownership while maintaining the team, culture, and strategy
Executing the Strategy
With the support of Seaside, management executed a growth-oriented value creation playbook:
- Expanded product offering through product extensions and new category development
- Drove volume growth by expanding geographically, introducing new products, and investing in additional production capacity
- Accelerated top-line and profitability growth by implementing a new pricing strategy, investing in new equipment, and optimizing sourcing and supply chain
- Pursued and executed on an add-on acquisition
- Upgraded the ERP system, reporting capabilities, and tax strategies
- Expanded the management team by adding new positions including a new CFO, head of marketing, head of sales, and head of supply chain
Delivering Results
- Entered two new product categories
- Grew customer count by 30%
- Grew international operations in Europe and the Middle East
- Materially grew revenue and EBITDA
Exit
Given the strong growth and level of value creation under Seaside’s ownership, the Company sold to Oldcastle APG, a CRH Company (NYSE: CRH), one of the largest building materials businesses in North America and Europe, in November 2021.