American Technologies Inc. will be able to count plenty of firsts once it closes the books on 2020.
The Anaheim-based restoration contractor received its first outside capital infusion last month from private equity firm TSG Consumer Partners.
Before the end of this year, it expects to close on its first-ever acquisition, as it looks to bolster its footprint on the East Coast.
And, of course, there was a global pandemic to respond to.
With 31 years in business helping people and corporations handle catastrophic property damage, founder Gary Moore is able to take plenty in stride, and the steady growth of his business has earned him an honor during the Business Journal’s annual Excellence in Entrepreneurship awards (see stories on the other winners, pages 1, 6, and 11).
“It was scary for everybody with COVID, going from working in our offices to working at home,” Moore said of the year.
“To be truthful, I had a little concern in the beginning, but we have a great team and we’re really not skipping a beat. We’re even performing at a higher level than before.”
Commercial Work Boost
Part of that’s due to the fact that American Technologies has experience handling environmental decontamination and clean up—great services to offer at a time when stringent sanitation efforts are top of mind for many.
So, while work from homeowner claims—typically 35% to 40% of overall revenue in normal times—may have slowed more recently, work is picking up on the commercial side due to COVID, Hurricane Laura in Louisiana and the more recent wildfires.
ATI ended last year with $302.5 million in revenue generated across its more than 20 locations throughout the U.S. The company has more than 1,200 workers.
And, it’s likely to see a ramp in growth moving forward.
Last month, TSG pumped an undisclosed investment into the company to be used for acquisitions that will help expand ATI’s footprint geographically in addition to areas such as healthcare, particularly as it relates to work with hospitals and infectious control barriers.
Moore and family continue to run and own the business.
Typical investments from San Francisco-based TSG, which counts $9 billion in assets, can run as high as $500 million; other area local investments in the past include Yard House Restaurants and hair products company PureOlogy Research.
Since the influx in funding from TSG, ATI has signed a non-disclosure agreement and letter of intent with an East Coast firm it’s now conducting due diligence on, according to Moore. He said that deal is expected to close in the next 45 to 60 days.
The company’s also got NDAs signed with a couple other businesses, Moore added.
“We’ve been on the West Coast for 31 years, so we’re real strong here,” he said. “If we can duplicate what we have on the West Coast on the East Coast it would be awesome for our clients.”
The company’s got offices in places such as Boston, Philadelphia, Tampa and Chicago but plenty more would be nice, and it would keep the company competitive.
“In my industry, there has been a lot of consolidation and for us to be relevant 10 years from now, we have to expand and get larger to service our clients,” Moore said.
“If we didn’t do it, we could get left behind even though we’re regionally and nationally one of the largest.”
Always on Toes
The capital infusion and now, what seems, imminent acquisition spree, marks another phase for ATI, which in 2012 received a Business Journal Family-Owned Business award.
Moore started the company in 1989 after having grown up around a family in the restoration business. They showed him the ropes and allowed him flexible enough hours to go to college while working. He’s clearly stayed in it since, enjoying the gratification he and clients get in seeing the progress and end result on a home or business.
And, each day keeps him on his toes.
“The nature of our business is you always have to be up and ready,” Moore said. “We could have to mobilize 100 people this afternoon for a fire loss somewhere, so you have to be prepared and ready.”
