Thompson Street Capital Partners LLC is targeting pest control services to further build its budding commercial and residential services platform.

The middle-market firm formed portfolio company PestCo Holdings LLC in November and already has completed six add-on acquisitions for the platform. Investors in categories such as pest control are typically drawn to the significant opportunity for consolidation and the nondiscretionary nature of the services.

“Pest control is a very large, hyper-fragmented market,” Thompson Street director Jeff Aiello told The Deal. “There’s a low barrier to entry but a high barrier to scaling.”

PestCo has a large pipeline of opportunities ranging anywhere between $500,000 and $10 million in Ebitda, Aiello said. Following its recent acquisitions, the company now stands at about $45 million in revenue, according to a source familiar with the matter. Aiello declined to comment on PestCo’s financials.

Thompson Street, which typically partners with family- and founder-owned businesses, is searching for profitable companies with organic growth and strong digital marketing and customer acquisition capabilities in commercial and residential pest control services. PestCo has a presence in Texas, Illinois, Pennsylvania, New Jersey and Missouri. Aiello declined to share which markets the firm is looking to expand into next but added that PestCo isn’t ruling any states out.

Editor’s note: The original version of this article was published Aug. 3, 2022, on The Deal’s premium subscription website. For access, log in to TheDeal.com or use the form below to request a free trial.