Brothers Plumbing, Heating & Electric Sold to Redwood by SE Capital

What happened

Redwood Services announced on May 4, 2026 that it had acquired the Sierra Platform from SE Capital, a transaction that puts Brothers Plumbing, Heating & Electric of Denver, Colorado, under Redwood ownership. Brothers is one of five companies in the Sierra Platform, alongside Russett Southwest and Pioneer Plumbing in Tucson, Sierra Air Conditioning and Plumbing in Las Vegas, and Ultimate Heating & Air in Boise. Together the five bring Redwood about 400 full-time employees, more than 40,000 customers a year, and more than 19,000 active membership agreements. The announcement did not state a purchase price.

The seller

Brothers was founded in 1980 and provides residential plumbing, HVAC, and electrical services across the greater Denver area from its location at 6201 Broadway in Denver.

This was not a founder's sale. Before the deal, Brothers was a portfolio company of SE Capital, which now counts the investment as realized. It sat inside SE Capital's Sierra Platform, a residential HVAC, plumbing, and electrical group headquartered in Las Vegas with operations in Nevada, Arizona, Idaho, and Colorado, and it is the only one of the five companies based in Colorado. All five were founded between 1947 and the early 2000s.

RJ Magee, who led the Sierra Platform, joins Redwood as senior vice president of operations and will help oversee the integration of the five companies. "Joining Redwood creates an opportunity to build on that foundation with additional resources and support, while preserving the local leadership and culture that made these businesses successful," Magee said. The announcement did not name Brothers' own leadership or say whether that team changes.

The buyer

Redwood was founded in 2020 and is headquartered in Memphis. It backs residential HVAC, plumbing, and electrical contractors, which it calls Partner Companies, through a central Partner Support Center. In May 2025 Redwood announced a significant equity investment from Altas Partners, a Toronto- and New York-based investment firm, which joined founding backer Union Main Group in Redwood's investor group. Redwood reported more than 2,500 employees at the time.

The Sierra deal takes Redwood into Las Vegas, Denver, and Boise for the first time and adds to its existing presence in Tucson. "These are five exceptional brands with experienced teams, strong customer relationships, and a track record of performance," said Richard Lewis, Redwood's founder and chief executive.

When one platform buys another

The nearest comparable is Apex Service Partners' purchase of Frontier Service Partners in January 2024. Imperial Capital had formed Frontier in September 2021 around three residential HVAC, plumbing, and electrical companies: Haley Mechanical in Ann Arbor, Korte Does It All in Fort Wayne, and AB May in Kansas City. When Imperial sold Frontier to Apex, it said all owners had remained presidents of their brands and shareholders of Frontier, so the local owners held equity in the group that was sold. More on how buyers approach these businesses is on OffDeal's plumbing, HVAC, and home services industry page.

What this means for Denver plumbing owners

Redwood's entry into Denver came through an existing five-company group rather than a single local contractor. Brothers' path shows the second step of selling into a platform: the Denver company changed hands again as one of five businesses in four states, and the seller in that sale was SE Capital, not Brothers. For an owner weighing a platform offer, the Frontier owners show what keeps a local owner in that second sale: shares in the platform itself, which is what rollover equity in the first deal decides.

OffDeal is an advisory firm that helps lower-middle-market business owners sell with confidence. Reach out to learn more about our expertise with plumbing businesses in Colorado.

Own a plumbing business with $5M–$100M in revenue? We’re glad to give you an honest read on what it’s worth and who would buy it — no pitch, no pressure. Get a free valuation.

Source: Redwood Services - https://redwoodservices.com/news/redwood-services-expands-national-footprint-with-acquisition-of-sierra-platform-from-se-capital/