Kelvin Group and Southfield Capital Announce ARC Mechanical’s Strategic Acquisition of Cooling & Heating Specialists

August 9, 2023

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GREENWICH, CT – Southfield Capital, a premier lower middle market private equity firm, announced today that Kelvin Group, (“Kelvin”), a platform dedicated to building a collaborative group of the largest independent industrial and commercial mission-critical mechanical services companies in the U.S., has completed the acquisition of Cooling & Heating Specialists, Inc. (“CHS”), a regional commercial air conditioning and heating service provider headquartered in Newton, MA. The acquisition of CHS will be integrated into Kelvin’s ARC Mechanical (“ARC”) business unit and represents Kelvin’s eighth acquisition since partnering with Southfield. ARC is a leading mission critical mechanical services company in New England focused on commercial and industrial clients.
 
CHS is a full-service heating, ventilation, and air conditioning company with over 30 years of industry experience. Specializing in HVAC installation and service, the company caters to a wide range of clients, from small commercial units to large industrial systems. Well-versed in light and heavy oil systems, including gas-fired boilers and environmentally safe recovery methods, CHS offers expertise in new installations, tenant fit-ups, and retrofitting projects, ensuring successful and customized solutions.
 
Harry Gray, CEO of ARC’s parent company, Kelvin, commented on the recent addition to the company’s portfolio. "We are proud to witness ARC Mechanical's growth through CHS’s joining the Kelvin Group family of companies, which is a testament to our commitment to partnering with excellent teams and expanding our expertise in the cooling and heating industry."
 
"I am excited and proud to join the ARC Mechanical team following our recent acquisition,” said Don Green (President, CHS). “Becoming a part of ARC opens up new avenues for growth and allows us to leverage our decades of experience in the HVAC industry to deliver even greater value to our clients. Together, we’re poised to achieve remarkable success and set new standards of excellence in the market."
 
Southfield Principal, Chris Grambling, commented on the transaction, "We are thrilled to join forces with Don Green's team. The addition of CHS to ARC accelerates the expansion of our commercial HVAC capabilities in New England, significantly enhancing the range of services available to our valued customers."
 
Deerpath Capital Management provided debt financing. Finn, Dixon & Herling provided legal counsel to Kelvin and Southfield Capital.

About Kelvin Group
Kelvin Group is a leader in the field of industrial and commercial mission-critical mechanical services, process safety management and environmental compliance. Its turnkey solutions provide design/installation and ongoing service and preventative maintenance of world-class mechanical systems for leaders in the food and beverage, cold storage, pharmaceutical, educational, health care, and process industries. Once engaged with customers, it assists business owners achieve mandated health, safety, environmental and regulatory compliance standards.
 
For more information, please visit www.kelvin.cool.
 
About Southfield Capital
Southfield Capital is a private equity firm that invests in high-growth, lower middle market companies in the outsourced business services sector. The firm targets companies with $4 – 12 million in EBITDA and partners with management to scale the business through a combination of organic and acquisition growth strategies.

For more information, please visit www.southfieldcapital.com.


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