Caltius Structured Capital Provides Debt to 39N Diversified Roofing Holdings, LLC

January 18, 2024

Los Angeles, CA (January 18, 2024) – Caltius Structured Capital (“Caltius”) is pleased to announce the recent closing of a debt investment in Phoenix-based 39N Diversified Roofing Holdings, LLC (“DRG” or the “Company”), which is majority owned by 39 North Capital (“39N”) and DRG’s CEO, Mark Schouten. The financing was used to support the continued growth and expansion of the Company through its fourth strategic acquisition since partnering with 39N in 2021.

Founded in 1988, DRG (https://www.diversifiedroofing.com/) provides re-roofing services, maintenance services, and new construction roofing services to commercial and residential clients. With the most recent acquisition, DRG continues its strategy of broadening its service offering in re-roofing/maintenance services, furthering a balanced revenue mix and increasing stable and predictable revenue.

“We are excited by our most recent acquisition as it continues to build our house of brands that are market leaders and enables us to service our customers across a broader geographic footprint,” said Mark Schouten, CEO at Diversified Roofing. “This is an exciting time at DRG and I’m looking forward to partnering with other likeminded roofing operators that want to maintain their brand and local autonomy, but gain the benefits of being part of a large and growing platform.”

“We are extremely pleased to have Caltius supporting DRG’s growth as our partner,” said Tim Lucey, Managing Partner of 39 North Capital. “With their help, we will continue to support our industry-best management team to grow DRG through organic initiatives and strategic acquisitions.” 

“We have been impressed with DRG’s strong 36-year reputation, expertise across diverse end markets, and scalable internal systems that support an integrated platform of highly attractive brands. The Company’s strong leadership team has successfully grown the Company’s re-roofing, maintenance, and new construction segments,” stated Alisa Frederick, Managing Director of Caltius. “We are excited to partner with management and 39N in their plans to grow market share and expand DRG’s offerings.”

About 39 North Capital

 39 North Capital is a principal investment firm founded by Tim Lucey and Jake Roffman to focus on partnering with owner-operators and strategic investors to create long-term value for all stakeholders – our employees, customers, communities, and investors. We are relationship driven and leverage our deep networks as operators and finance professionals to source, diligence and manage investments. We focus on mature, cash generating businesses in the following key sectors: multi-unit retail, health & wellness, beauty, and business and residential services. For more information, please visit www.39northcapital.com.