Legacy Swim Group, the Largest Franchisee of a Leading Swim School Brand, Recapitalizes and Receives Growth Investment from Main Street Capital Corporation

Navagant LLC, (“Navagant”), a leading middle-market investment bank, advised Legacy Swim Group (“Legacy”), the largest combined franchisee of a leading swim school brand in the U.S., on its growth investment and recapitalization with Main Street Capital Corporation (“Main Street”, NYSE: MAIN).

Legacy operates 44 Swim School locations across 10 states, including Arizona, Colorado, Georgia, Kansas, North Carolina, Ohio, Oklahoma, Texas, Utah, and Virginia. The company offers best-in-class swim programs designed for children ages 4 months to 12 years, promoting confidence, safety, and skill development in the water.

As part of the recapitalization with Main Street, Legacy simultaneously completed the merger of several of the most successful franchisees prior to close, while also completing the acquisition of a 5-school Texas-based franchisee.

The merger brings together a handful of the most established and well-respected brand franchise groups under the unified Legacy platform. This strategic combination brings together a unified leadership team with a proven operational track record to create the premier swim school platform both within and outside the brand network.

Benefits & Long-Term Value Creation

The recapitalization with Main Street Capital further strengthens Legacy’s ability to enact its exciting growth roadmap, which consists of synergistic growth opportunities in existing locations through the sharing of best practices and geographical de novo expansion. The Main Street investment will enable Legacy to capitalize on its near and long-term growth strategy while maintaining the ability to offer the highest quality of swim education and youth enrichment programs. Legacy will continue to advance its mission of empowering children through transformative early childhood experiences through its relentless commitment to swim safety and helping build and develop every child’s confidence both in and out of the pool.

Legacy Swim Group and Navagant Quotes

Mike Priest, CEO, Legacy Swim Group, stated, “This investment will allow us to accelerate growth across key markets and expand access to high-quality swim education. Main Street Capital’s partnership and resources will help us continue delivering best-in-class swim instruction and support our goal of greatly expanding our school count in the coming years.”

Tommy Fisher, CFO, Legacy Swim Group, “This transaction marks an exciting new chapter for Legacy as we continue to expand our impact and reach across the U.S. We’re thrilled to partner with Main Street Capital to accelerate our growth and strengthen our commitment to families and communities nationwide. The Navagant team was an excellent advisor throughout this process, and we’re grateful for their support in helping bring this partnership to life.”

Jeff Bache, Director, Navagant, commented, “This partnership represents a defining moment for Legacy and the franchise system. By uniting two best-in-class operators and partnering with Main Street Capital to bring in the first institutional capital, Legacy is poised to expand its reach and deepen its impact on youth enrichment and water safety education. We are proud to have advised such a dedicated team and look forward to seeing the continued growth and success that lies ahead.”

About Main Street Capital Corporation

Main Street is a principal investment firm that primarily provides customized long-term debt and equity capital solutions to lower middle market companies and debt capital to private companies owned by or in the process of being acquired by a private equity fund. Main Street’s portfolio investments are typically made to support management buyouts, recapitalizations, growth financings, refinancings, and acquisitions of companies that operate in diverse industry sectors.

Main Street seeks to partner with entrepreneurs, business owners, and management teams and generally provides customized “one-stop” debt and equity financing solutions within its lower middle marketing investment strategy.

Visit mainstcapital.com for more information.