NEW YORK — An affiliate of Blue Wolf Capital Partners, a New York-based private equity firm, has sold its interest in Healthcare Laundry Systems (HLS), Wheeling, Ill., to Crothall Services Group, according to a Blue Wolf press release. Terms were not disclosed.
A Blue Wolf affiliate created HLS in November 2008 through the acquisition of assets of Wheeling-based Hospital Laundry Systems and Rockford, Ill.-based Northern Illinois Hospital Services, each of which was acquired from a consortium of not-for-profit hospitals.
Today, HLS provides healthcare laundry services—representing more than 70 million pounds of clean linen annually—to approximately 770 acute-care hospitals and clinics in the greater Chicago area.
Blue Wolf says that since HLS was created, the company’s revenue has increased 50% through a combination of organic growth and acquisitions.
“We bought an underperforming business, improved governance, improved environmental performance through targeted capital spending, and focused on growing the company through an increased customer focus, accretive acquisitions and value-enhancing customer additions that have turned HLS into the dominant force in its market,” says Adam Blumenthal, managing partner of Blue Wolf.
Crothall has provided management services to HLS for six years.
“We have seen this business thrive under Blue Wolf,” says Bobby Kutteh, CEO of Crothall Services Group. “We are pleased to have contributed to HLS’s previous success and we are committed to continuing the strong management and teamwork that have allowed the company to become the leader in its field.”