The parent company of STOP Restoration saw a major influx of funds thanks to an investment from a Canadian institutional investment fund.

British Columbia Investment Management Corp. agreed to acquire a significant minority stake in Authority Brands. Apax Partners LLP which will retain majority ownership Authority Brands.

As a long-term investor, we seek to invest in market-leading companies with strong management teams, multiple levers for growth, and resilient business models that create shareholder value, such as Authority Brands," said Dave Hong, senior managing director  for private equity at BCI. "We look forward to working with Authority Brands and Apax to generate compelling risk-adjusted returns for our pension plan and insurance fund clients."

Authority Brands franchises a dozen home service brands, including STOP. Together, these brands provide home services through approximately 860 franchise owners across North America. Since the Apax Funds' initial investment in 2018, Authority Brands has grown from two home service franchisors to the current 12, expanding into new geographies and services.

"We are proud to have partnered with the Authority Brands team to help build, both organically and through strategic acquisitions, a leading residential services franchising platform," said Ashish Karandikar, partner at Apax. "We continue to see significant room for growth by Authority Brands and are pleased to join with BCI and members of the leadership team in the next phase of the company's journey as they extend their platform through M&A, and strategic initiatives including franchise development, technology transformation and international expansion.

Financial terms of the transaction were not disclosed. The transaction is expected to be completed in the fourth quarter, subject to customary closing conditions.

"We could not be more pleased than to continue to build the premier residential services franchisor in partnership with Apax and BCI," said Craig Donaldson, CEO of Authority Brands. "Both partners will add substantial value as we aim to capture further share in the highly fragmented home services market, including by evaluating M&A opportunities in new service verticals."