Atlantic Street Capital, a private equity firm that invests in lower middle market companies through an operationally intensive strategy, today announced that it has made an additional $70 million investment to further support the operating strategy, member experience, leadership team, and wash quality of its portfolio company, Zips Car Wash.
Operating over 270 locations in 20+ states over the last 20 years, most of Zips’ growth story has occurred over the last eight years through strategic acquisition, development, and member growth. “Express only car wash chains are a great place to invest yet face challenging consumer trends that need to be addressed by Zips and the industry at large. This capital is critical for Zips’ efforts to think beyond existing industry strategies to accelerate growth, define membership experience and capture retail attention,” said ASC Managing Partner, Andy Wilkins.
Atlantic Street initially invested in Zips in 2020 and in 2022 increased its investment by acquiring additional equity from founding shareholders through a continuation fund. Since 2020, the company has acquired new locations, substantially upgraded equipment, simplified monthly membership offerings, improved wash quality, and engaged technology to deliver the best consumer experience.
About Zips Car Wash
Zips, headquartered in Plano, Texas, operates more than 270 locations across 20+ states under three brands: Zips Car Wash, Rocket Express Car Wash, and Jet Brite Car Wash. With 20 years of car washing experience, Zips prides itself on providing the highest quality express tunnel wash experience and simplified membership offerings. The Zips team aims to positively impact the communities we live and serve in. To learn more visit www.zipscarwash.com.
About Atlantic Street Capital
ASC is a private equity firm that invests in lower middle market companies poised for the next level of growth. The firm targets entrepreneurial management partners and fundamentally sound companies between $4 million and $25 million of EBITDA that will benefit from capital investment and ASC’s value-added strategic and operational support. As a result, ASC works closely with management to unlock their business’ underlying value and help them succeed. For more information, visit www.atlanticstreetcapital.com.
