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May 2019

Penfund Announces Follow-on Investment in Mister Car Wash

TORONTO, Ontario (May 23, 2019) – Penfund, an independent provider of junior capital to North American middle market companies, announced today the completion of a follow-on investment in Mister Car Wash (“MCW” or the “Company”) as part of a small club of lenders providing a new US$225 million second lien credit facility.

The proceeds of this facility, together with the proceeds of a new US$800 million first lien term loan, have been used to refinance MCW’s existing debt and to pay a distribution to shareholders. Senior lenders also provided a new US$75 million revolving credit facility and US$40 million delayed draw term loan.

Headquartered in Tucson, Arizona, MCW is the largest car wash operator in the United States. Operating 300 car washes and 32 oil change expresses across 21 states, MCW has a reputation for providing high quality service at an affordable price. Innovative programs, such as the subscription-based Unlimited Wash Club, increase customer value and enhance the customer experience. The Company focuses on the conveyor wash segment and washes over 45 million cars annually.

Jeremy Thompson, a partner at Penfund, stated, “Penfund is excited to support Leonard Green and its investment in Mister Car Wash as both teams work to continue their exceptional track records. The car wash industry remains highly fragmented leaving significant white space for MCW to continue executing its growth strategy while simultaneously creating value for customers through network enhancements like the Unlimited Wash Club program.”

About Mister Car Wash

Mister Car Wash is the largest car wash company in the United States operating 300 car washes and 32 oil change expresses (co-located with car washes). The Company’s network focuses on express conveyor washes but also offers full-service washes.

Website: www.mistercarwash.com

About Leonard Green & Partners

Leonard Green & Partners, L.P. (“LGP”) is a leading private equity investment firm founded in 1989 and based in Los Angeles. LGP partners with experienced management teams and often with founders to invest in market-leading companies. Since inception, the firm has invested in over 90 companies in the form of traditional buyouts, going-private transactions, recapitalizations, growth equity, and selective public equity and debt positions. LGP primarily focus on companies providing services, including consumer, business, and healthcare services, as well as retail, distribution, and industrials. LGP’s most recent fund, Green Equity Investors VII, L.P. (“GEI VII”), closed in 2016 with US$9.6 billion of committed capital.

Website: www.leonardgreen.com

About Penfund

Penfund is a leading provider of junior capital to middle market companies throughout North America. The firm is owned by its management team and is currently investing its most recently established fund, Penfund Capital Fund VI. Penfund manages funds sourced from pension funds, insurance companies, banks, family offices and high-net-worth individuals located in Canada, the United States, the Middle East and Europe. Penfund has invested more than $3 billion in over 225 companies since its establishment. Assets under management are approximately $1.8 billion.

Website: www.penfund.com

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About Penfund

Penfund is a leading provider of junior capital to middle market companies throughout North America. The firm is owned by its management team and is currently investing its most recently established fund, Penfund Capital Fund VI.  Penfund manages funds sourced from pension funds, insurance companies, banks, family offices and high net worth individuals and has invested more than $3 billion in over 225 companies since its establishment in 1979. Assets and capital under management currently total $1.8 billion.

For further information, please contact:

John Bradlow

Partner & Chairman

416 645-3799jbradlow@penfund.com

Richard Bradlow

Partner

416 645-3794richard@penfund.com

Jeremy Thompson

Partner

416 645-3790jthompson@penfund.com
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