By Agnieszka Opalka
Academy Event Services, LLC is a leader in tent manufacturing, tent rental, event-related accessories and support services for the special events industry. A Los Angeles, CA-based company, Academy prides itself on being a complete tent solutions provider for organizers of special events. With 20 years experience, Academy's expertise, along with its dedication to quality and service, has made it one of the largest participants in the tent manufacturing and rental industry.
In a September 30, 2002 transaction, Academy Event Services, LLC was purchased by Cambridge Capital Partners, a private equity firm. In support of the buyout, American Capital Strategies Ltd. (Nasdaq:ACAS) provided $27 million in senior and subordinated debt financing.
"Since its inception, Academy quickly rose to be a leader in its industry," said David Posner, Managing Partner of Cambridge Capital Partners. "With American Capital as our investment partner, we will build on Academy's leadership and assist its continuing growth by helping to expand its product line as well as its geographic presence."
Cambridge Capital Partners' expertise in business development will benefit Academy as it looks to expand its business. In addition, Academy will benefit from Cambridge's strategic relationship with The Cambridge Group, a strategy consulting firm, which will assist management in increasing sales and its market share through identifying and effectively targeting customers.
"American Capital is investing in a leader in a growing industry," said Mark Schindel, Principal. "The combination of the two companies should result in substantial cost savings as well as efficient and better focused marketing of products and services, which, along with management's and Cambridge's leadership, will drive growth."
Prior to the transaction, Academy Events Services consisted of two entities, Academy Tents & Canvas, Inc. and Event Technical Services, Inc. Although they shared a common ownership, the companies were operated separately. Upon closing, the companies were integrated into one entity, Academy Event Services, LLC.
Academy Tents & Canvas, Inc. was founded in 1981 and followed by the founding of its affiliate, Event Technical Services, in 1983. The combined company, Academy Events Services, is a solutions provider serving the special events industry, specifically focusing on three areas: tent rental, tent manufacturing and selling, and rental of event-related support products and services.
Academy's tents can be categorized into three basic styles: pole tents, frame tents, and tensile tents. The company also manufacturers tents structures, such as the Double Decker Tent, which Academy first introduced in 1995. Academy also provides a wide range of tent accessories and services which make the tent complete, such as sidewalls, lighting, flooring, tables, chairs, stages, satellite platforms and HVAC.
For 20 years, Academy Event Services predecessors have provided their products and services to many famous events. Of these events, perhaps the most notable is Academy's recent contract with the Salt Lake City Organization Committee in which Academy was the sole tent and flooring provider of the 2002 Winter Olympic Games.
Academy's commitment to excellent service and quality has enabled it to maintain ongoing relationships with numerous clients, servicing events such as the Academy Awards, NFL Super Bowl, Rose Bowl and US Open. In addition to high profile events, Academy has served numerous community events, such as the Red Cross Cander Project.
The special events section of the rental industry has experienced double digit growth due to the growing popularity of outdoor events, which are viewed as an effective marketing strategy, and increasing recognition of the benefits of special events equipment rental as opposed to ownership, and technological advancements that have enabled the manufacturing of affordable, long-term structures. Continuing with its steady growth, the industry's forecast for 2003 and beyond remains attractive.
Through the years, Academy has experienced growth and success due to its ability to differentiate itself from its competitors. Unlike most of its competitors, whose geographic presence is limited to local and regional areas, Academy's geographic reach extends nationwide and internationally. In addition, with its large and efficient manufacturing facility in Vernon, CA, Academy has demonstrated its ability to accommodate large, customized orders, gaining it a respected position within the industry. Through detailed consultations involving many employees, Academy is able to ensure the efficiency and quality of its work, and also speed up the order completion process, especially through its extremely efficient modular production process.
With an excellent reputation and a strong commitment to quality and service, Academy Event Services is well-positioned to expand its business and continue to cover future special events.
