Kian-Backed Team Air Enters Georgia Market with Second Territory Award from OEM Partner American Standard

Rhea-AI Summary

Team Air Distributing, backed by Kian Capital, has been awarded new territories in Northern Georgia and Metro Atlanta by American Standard, a division of Trane Technologies (NYSE: TT). This expansion includes opening six new branch locations in 2025, adding over 85 new employees, and bringing the company's total to 300+ employees across 17 branches. This marks Team Air's second territory award in less than a year, following their late 2023 expansion into Kentucky, Southern Indiana, and Illinois.

The move into Atlanta, one of the largest HVAC markets in the US, is expected to drive significant growth for Team Air. The company, a seven-time recipient of the American Standard Pinnacle Award, aims to become the leading HVAC-focused distributor in the Southeast and lower Midwest. Team Air is actively seeking partnerships with businesses supplying wholesale residential and commercial equipment, parts, and supplies in HVAC, plumbing, and electrical sectors.

Positive

• Expansion into Northern Georgia and Metro Atlanta, a major HVAC market
• Opening of 6 new branch locations in 2025
• Addition of 85+ new employees, increasing total workforce to 300+
• Second territory award from American Standard in less than a year
• Seven-time recipient of American Standard Pinnacle Award
• Potential for significant future growth and increased revenue

Negative

• None.

Financial Analyst

Team Air's expansion into Georgia marks a significant growth opportunity. The addition of six new branches and 85+ employees represents a 40% increase in locations and a 28% boost in workforce. Atlanta's status as one of the largest HVAC markets in the U.S. positions Team Air for substantial revenue growth. This expansion, coupled with the recent territory award in Kentucky, Indiana and Illinois, demonstrates strong momentum and confidence from American Standard. The company's consistent performance, evidenced by seven Pinnacle Awards, suggests a solid operational foundation for this expansion. While specific financial projections aren't provided, the scale of expansion implies a significant positive impact on Team Air's future revenue and market share.

Market Research Analyst

This expansion signifies a strategic market penetration for Team Air. The HVAC industry is experiencing robust growth, driven by factors such as:

• Increasing focus on energy efficiency
• Rising construction activities
• Growing demand for smart HVAC systems

Atlanta's hot and humid climate ensures a steady demand for HVAC services. The timing of this expansion aligns well with the post-pandemic economic recovery and the booming real estate market in Atlanta. Team Air's partnership with American Standard, a reputable brand, provides a competitive edge in this new market. The company's ambition to become the leading HVAC distributor in the Southeast and lower Midwest indicates a clear growth strategy, which could lead to further expansions and potential M&A activities in the near future.

Business Strategy Expert

Team Air's expansion strategy demonstrates smart, calculated growth. By leveraging its strong relationship with American Standard, the company is mitigating risks associated with entering new markets. The phased approach to opening branches (three in January 2025, three more in H1 2025) allows for controlled scaling and adjustment to local market dynamics. The focus on high-touch service aligns with American Standard's 'Higher Standard' philosophy, creating a cohesive brand experience for customers. Team Air's openness to M&A opportunities suggests a multi-pronged growth strategy, combining organic expansion with potential acquisitions. This approach could accelerate market penetration and diversify their product offerings. The company's ability to secure two territory awards in under a year indicates strong execution capabilities and positions them well for future growth initiatives.

CHARLOTTE, N.C. & ATLANTA--(BUSINESS WIRE)-- Kian Capital-backed Team Air Distributing (“Team Air”), a leading wholesale distributor providing OEM-branded HVAC equipment, parts and supplies to residential and commercial contractors, has been awarded new territories in Northern Georgia and the Metro Atlanta area from its OEM partner American Standard, a division of Trane Technologies (NYSE: TT).

Team Air will open six new branch locations in Northern Georgia and the Metro Atlanta area, beginning with three branches in January 2025 and an additional three branches to be opened in the first half of 2025. The market launch will add more than 85 new employees, creating new jobs in the Atlanta metro and bringing the company’s employee count to 300+ with 17 total branch locations. Atlanta is one of the largest HVAC markets in the United States, and the expansion will prime the platform to take advantage of the highly active sector in a new geography. In late 2023, American Standard awarded Team Air new territories in 130 counties throughout the majority of Kentucky and portions of Southern Indiana and Illinois.

“We’re proud to be awarded our second territory award in a little under a year from our valuable partner, American Standard,” said Jeff Wallace, President & CEO of Team Air. “We expect this expansion to bring significant future growth to the platform, dramatically increasing our employee count, branch count and projected revenue in just under 18 months since we first partnered with Kian. We look forward to bringing our industry-leading, high-touch service to a new market, growing American Standard’s market share and eventually adding product lines in new verticals.”

Team Air is a seven-time recipient of the American Standard Pinnacle Award, which is awarded annually to the top-performing independent distributors across five key operating metrics, with the most recent win being 2023.

“Two territory awards in a little less than a year is a testament to Team Air’s strong performance and relentless dedication to providing top-notch service to its customers,” said Jordan Lee, Partner at Kian. “We’re thrilled to be partnered with such an incredible leadership team and we look forward to continuing to support Team Air as they evaluate strategic M&A in pursuit of the company’s goal of being the leading HVAC-focused distributor in the Southeast and lower Midwest.”

“American Standard has been committed to innovation and home comfort with a ‘Higher Standard’ for over a century,” said Bryan Davenport, Vice President of Sales, Independent Distribution at American Standard. “Our customers have come to know us as a dependable, people-first company that insists on top-quality products and installation. That’s why it is essential to work alongside businesses that align seamlessly with our values and work diligently to provide the same level of commitment. Therefore, we’re proud to broaden Team Air’s territory and support their growth into the active Georgia market.”

Team Air is actively seeking partnerships with like-minded founders with businesses that supply wholesale residential and commercial equipment, parts and supplies including HVAC, plumbing and electrical. Business owners interested in learning more should contact David Duke, Partner, Business Development at Kian, at dduke@kiancapital.com.

About Team Air Distributing

Founded in 1990 and headquartered in Nashville, Tennessee, Team Air Distributing is a leading wholesale distributor providing OEM-branded HVAC equipment, parts and supplies to residential and commercial contractors. Team Air’s management team has combined experience of over 50 years with the company and over 100 years in the industry. Providing best-in-class customer service, creating loyal partnerships, utilizing technological advancements and distributing the best products available are the foundation of Team Air’s success. Team Air partners with only the most trusted and forward-thinking brands such as American Standard, Mitsubishi, GeoStar Geothermal and ClimateMaster Geothermal. To learn more, visit www.teamairdist.com.

About American Standard

American Standard Heating and Air Conditioning offers a broad portfolio of energy-efficient heating, ventilating and air conditioning systems, parts support and advanced controls for residential and light commercial applications to help families feel more comfortable and breathe easier in their homes. To learn more, visit www.americanstandardair.com.

About Kian Capital Partners

At Kian, we forge partnerships to ignite growth and build enduring value. Our goal is to provide flexible financial resources and additional operational horsepower to scale lower-middle-market businesses, realize aspirations and deliver long-term investment returns through genuine partnership. Proud to be recognized on Inc.’s Founder-Friendly Investors list for three consecutive years, Kian is a private investment firm with $1 billion of capital under management and a focus on four core industry sectors: consumer, services, value-added distribution and specialty manufacturing. Our team of seasoned investors has over 100 years of collective experience providing transformational capital solutions and board-level strategic and operational guidance to founder/owner operated businesses. To learn more, visit www.kiancapital.com.

Disclaimer

This article does not constitute an offer to sell or the solicitation of an offer to purchase any investments or securities, including any securities of Kian Capital (“Kian”), or any funds or accounts managed or advised by Kian in any jurisdiction in which such an offer or solicitation is not authorized or to any person to whom it is unlawful to make such an offer or solicitation.

Any such offer or solicitation may be made only by means of the delivery of a confidential private offering memorandum (the “Memorandum”), which will contain material information not included herein regarding, among other things, information with respect to risks and potential conflicts of interest, and other offering and governance documents of any given fund or account (collectively with the Memorandum, the “Fund Documents”).

View source version on businesswire.com: https://www.businesswire.com/news/home/20240918112980/en/

Business Inquiries

David Duke

Partner, Business Development

dduke@kiancapital.com

T 470.823.3008



Media Inquiries

Allie Gamble

MiddleM Creative (on behalf of Kian Capital)

allie@middlemcreative.com

T 704.280.1432

Source: Kian Capital Partners

FAQ

What new territories has Team Air Distributing been awarded by American Standard (TT)?

Team Air Distributing has been awarded new territories in Northern Georgia and the Metro Atlanta area by American Standard, a division of Trane Technologies (NYSE: TT).

How many new branch locations will Team Air open in Georgia?

Team Air will open six new branch locations in Northern Georgia and the Metro Atlanta area, with three branches opening in January 2025 and an additional three in the first half of 2025.

How many new employees will Team Air add with this expansion?

The expansion into Georgia will add more than 85 new employees, bringing Team Air's total employee count to over 300.

When did Team Air receive its previous territory award from American Standard (TT)?

Team Air received its previous territory award from American Standard in late 2023, covering 130 counties throughout the majority of Kentucky and portions of Southern Indiana and Illinois.

How many times has Team Air won the American Standard Pinnacle Award?

Team Air is a seven-time recipient of the American Standard Pinnacle Award, with the most recent win being in 2023.