Patrol Protect and Secure, Inc. (known as “PPS”) is pleased to announce its second investment in the U.S. contract security industry with the acquisition of American Heritage Protection Services (“AHPS”). AHPS is an Illinois based quality provider of armed and unarmed security guard services, primarily to utility companies and healthcare facilities. This addition and other initiatives have tripled the profits of PPS in the 9 months since our initial investment. The acquisition of AHPS is complementary to PPS’ existing operations and adds size, scale, and diversity to the platform.
PPS was formed by Mangrove Equity Partners and Sunlake Capital to pursue a growth-oriented investment strategy in the U.S. contract security industry. We believe there is tremendous opportunity to build a substantial, best-in-class contract security provider by focusing on service excellence and recruiting, training and retaining high-quality people. PPS is actively seeking acquisitions of contract security providers to support its growth in new and existing geographies.
The Mangrove team has enjoyed meaningful success with a number of industry consolidations and is an uncommonly strong partner for owner/operators seeking growth through add-on acquisitions. Mangrove’s internal operating team affords our consolidation portfolio partners operating experience and capacity to not only vet, close and fund add-ons, but to successfully integrate and build enduring value.
PPS and AHPS are also exemplary examples of Mangrove’s work with quality business-to-business service companies, particularly those with strong margins, and ability to provide outstanding service levels and an ability to take market share from larger competitors whose service quality suffers due to their cumbersome size.