PlayCore Inc. is a leading manufacturer of commercial playground equipment sold primarily to schools and municipalities. In 2007, PlayCore was acquired by a New York–based private equity fund, which retained Harvey & Company to assist in expanding PlayCore’s product line and market reach through acquisition. Harvey & Company helped PlayCore acquire seven companies that substantially broadened the company’s focus, making it attractive to a wider customer base. In 2014, PlayCore was acquired by another private equity fund; due to the strong relationship with management, Harvey & Company’s partnership with the company has continued through the change in ownership. Since then, Harvey & Company has initiated six additional acquisitions, bringing the total number of transactions closed together to 13. Harvey & Company continues to assist PlayCore in its industry consolidation strategy to:
- Prioritize product and market sectors for acquisitions within the fragmented supplier base of playground and park products.
- Focus on complementary products that share similar distribution channels and customer bases: municipalities, park districts, schools, daycare facilities and fitness and recreation centers.
- Target acquisition of privately held companies with over $1mm EBITDA.
Categories targeted for acquisition:
- Play & Recreation
- Site Amenities & Structures
- Sports and Playground Surfacing
- Early Childhood Development Products
- Fitness & Sporting Goods
Result: Through its numerous acquisitions, PlayCore has established itself as a leading manufacturer of playground equipment and recreation products. Its market position is further validated by the company’s brand leadership, its reputation for quality and safety and its superior product innovation capabilities. The acquisitions initiated by Harvey & Company over the past eight years, combined with the broader sales platform of PlayCore, have led to additional growth for the acquired companies and significant contribution to the overall organization.
- Harvey & Company assisted in the acquisition of 13 businesses with complementary products, channels and markets that leverage the strength of PlayCore’s core playground business and distribution channels.
- PlayCore transitioned from a playground-equipment-only manufacturer to a leading provider of commercial recreation equipment supplied to municipalities, park districts, schools, daycare facilities, recreation centers and fitness clubs.
- Harvey & Company maintained a productive relationship with management as the company was built by one private equity group and transitioned to another.