Apex Service Partners Just Hit a $10 Billion Valuation. Here Is What It Means for Your HVAC Exit.

Apollo invested $2B in Apex at a $10B valuation. Here is what the landmark deal means for HVAC owners considering an exit and how it affects your company's value.

On May 27, 2026, Apollo Global Management announced a $2 billion minority investment in Apex Service Partners at a total enterprise valuation of $10 billion. This is not just another headline. This is the single most important data point for any HVAC business owner considering an exit in the next 24 months.

Apex generates over $500 million in EBITDA on more than $3 billion in annual revenue. They operate in 45 states with over 8,000 employees across 107+ acquired companies. And now they are valued at roughly 20 times EBITDA at the platform level.

For context, most individual HVAC companies sell for 4 to 7 times EBITDA. The gap between what buyers pay for your company and what the platform is worth to investors is where the real money lives. Understanding this gap is the key to understanding why private equity is so aggressively acquiring HVAC businesses right now.

The Deal in Context: A Timeline of Escalating Valuations

The Apex deal did not happen in isolation. It is the latest in a series of increasingly large transactions that have reshaped the HVAC services landscape over the past 18 months.

The pattern is unmistakable. Platform valuations are climbing. The implied EBITDA multiples at the platform level have moved from 15-17x in 2024 to 18-20x in 2026. Every time a new deal closes at a higher multiple, it resets the ceiling for the entire industry.

Why a $10 Billion Valuation Matters for a $2 Million Revenue HVAC Company

You might look at this headline and think it has nothing to do with your business. After all, Apex has 107 companies and $3 billion in revenue. You have one company and maybe $2 to $5 million in revenue. But the connection is direct and mathematical.

Multiple arbitrage is the engine that drives PE acquisitions. Here is how it works:

• A PE-backed platform like Apex acquires your HVAC company for 5x EBITDA
• Your company's revenue and EBITDA get rolled into the platform
• The platform is valued at 20x EBITDA by institutional investors
• Your $400,000 in EBITDA, purchased for $2 million, is now worth $8 million inside the platform

This is not theoretical. This is the actual business model that has attracted hundreds of billions of dollars into HVAC services. And the higher the platform multiple climbs, the more PE firms can afford to pay for individual acquisitions.

What this means practically: The $10 billion Apex valuation creates more room for PE firms to pay higher multiples for individual HVAC companies while still generating strong returns for their investors. If the platform multiple is 20x and they buy at 6x, they have 14 turns of multiple expansion to work with. That is an enormous margin of safety that allows them to be aggressive on price.

The Buyer Universe Has Never Been Larger

Apex is not the only buyer. The HVAC services sector now has more active acquirers than at any point in history. According to deal platform data, nearly 3,000 investors are actively seeking HVAC acquisition targets. The buyer-to-seller ratio sits at approximately 20 to 1.

Here are the most active platform buyers as of June 2026.

Mega Platforms ($5B+ valuation)

• Apex Service Partners (Alpine Investors / Apollo), 107+ companies across 45 states
• Champions Group (Blackstone), rapidly scaling post-acquisition
• Service Logic (Bain Capital), 140+ locations with a commercial focus

Large Platforms ($1-5B valuation)

• Sila Services (Goldman Sachs), aggressive residential growth
• Redwood Services (Altas Partners), multi-trade platform
• Wrench Group (Leonard Green), established residential platform
• CoolSys (Ares Management), commercial refrigeration and HVAC

Mid-Market Platforms ($100M-$1B)

• Dozens of regional platforms backed by mid-market PE firms
• Many are specifically targeting companies in the $1-5M revenue range
• These buyers often pay competitive multiples because they need acquisitions to hit growth targets

Strategic Buyers

• Robert Bosch (post-Johnson Controls acquisition)
• Schneider Electric (post-Motivair acquisition)
• Carrier, Trane, and other OEMs expanding into services

The competition among these buyers is what drives multiples higher. When 20 buyers are competing for every available seller, the economics favor the seller.

What Apex's Numbers Tell Us About Valuation Benchmarks

Apex's disclosed financials provide a rare window into how the market values HVAC service platforms. Let us break down the numbers:

• Revenue: $3 billion+
• EBITDA: $500 million+
• EBITDA margin: approximately 16-17%
• Enterprise value: $10 billion
• EV/EBITDA multiple: approximately 20x
• Revenue multiple: approximately 3.3x
• Companies acquired: 107+
• States: 45
• Employees: 8,000+

The 16-17% EBITDA margin is notable. Many individual HVAC companies operate at 10-15% margins. The platform achieves higher margins through shared services, purchasing power, and operational optimization across its portfolio. This is another reason PE firms pay premiums for well-run companies: they know they can improve margins after acquisition.

For your business, the relevant benchmark is not the 20x platform multiple. It is the multiple at which platforms are acquiring individual companies. Based on current market data:

Companies that achieve premium multiples share common characteristics: recurring revenue above 40%, owner-independent operations, strong technician retention, clean financials, and geographic positioning in growth markets.

Three Things You Should Do Right Now

The Apex deal confirms that the HVAC M&A market is not slowing down. If anything, it is accelerating. But market conditions can shift. Interest rates, regulatory changes, or a recession could compress multiples. The window is open now, and smart owners are preparing.

1. Get a realistic valuation baseline

You cannot make informed decisions without knowing what your business is actually worth today. Not what your neighbor sold for, not what a broker promised over the phone, but a data-driven assessment based on your specific financials, operations, and market position. The free Exit Score scan gives you an initial assessment of where you stand.

2. Identify and fix the gaps that suppress your multiple

The difference between a 4x and a 7x multiple on $500,000 of EBITDA is $1.5 million. That gap is usually caused by fixable issues: owner dependency, lack of recurring revenue, messy financials, or technician turnover. Most of these can be addressed in 12-18 months with the right plan.

3. Understand your timeline

The baby boomer succession wave is real. Over the next decade, thousands of HVAC business owners will reach retirement age simultaneously. As supply increases, the current 20-to-1 buyer-to-seller ratio will compress. Owners who prepare and execute in the next 24-36 months will capture the best valuations. Those who wait may find a very different market.

The Bottom Line

Apollo did not invest $2 billion in Apex because they think the HVAC M&A market is peaking. They invested because they believe it is still growing. The $10 billion valuation is a signal that institutional capital sees decades of consolidation ahead in home services.

For individual HVAC business owners, this creates a historically favorable selling environment. But favorable does not mean permanent. The smartest move is to understand your position, prepare your business, and make a deliberate decision about timing rather than letting the market decide for you.

Frequently Asked Questions

What does the Apex $10 billion valuation mean for small HVAC companies?

It means the gap between what PE firms pay for individual companies (4-7x EBITDA) and what their platforms are worth (18-20x EBITDA) has widened further. This multiple arbitrage gives PE firms more room to pay competitive prices for acquisitions, which benefits sellers. Even if you are a $2M revenue company, the Apex valuation indirectly supports higher acquisition multiples across the entire market because it validates the platform model and attracts more capital into the space.

Is now a good time to sell my HVAC business?

By most objective measures, mid-2026 is among the most favorable seller's markets in HVAC history. The buyer-to-seller ratio is approximately 20 to 1, multiples are near all-time highs, and PE firms have deployed hundreds of billions specifically targeting HVAC. However, selling requires preparation. Most owners need 12-18 months to optimize their business for maximum value. Starting that preparation now positions you to sell during what remains a strong market. Our 90-day preparation checklist walks through a detailed timeline.

How many HVAC companies has Apex acquired?

Apex Service Partners has acquired over 107 companies across 45 states since its founding in 2019 by Alpine Investors. The company employs more than 8,000 people and generates over $3 billion in annual revenue. Their acquisition pace has accelerated each year, and the Apollo investment provides additional capital to continue acquiring.

What multiple does Apex pay for HVAC acquisitions?

Specific deal terms are confidential, but market data suggests Apex and similar platforms typically pay 4-8x EBITDA for individual acquisitions depending on size, growth rate, recurring revenue percentage, and geographic positioning. Companies with $5M+ revenue, 40%+ recurring revenue, and strong management teams command the upper end of that range.