Cotton Creek Capital has acquired Coal City Cob Company in partnership with the Cloonen family and management of the company. DFW Tank Cleaning, Coal City Cob’s affiliated tank washing operation, was also included in the transaction.
Coal City Cob is a second generation, family-owned business that provides liquid bulk transportation services to the chemical and hazardous waste industries. Customers include chemical manufacturers and distributors, and specialty chemical companies. Coal City Cob operates a nationwide network of terminals, including a 27-acre facility near Dallas that has rail-to-truck bulk transfer ability, and offers fleet maintenance and tank wash services. Coal City Cob was founded in 1970 and is headquartered in Waxahachie, TX (www.cccob.com).
“We have had a relationship with Coal City Cob for many years as a strategic provider of transportation services for our businesses,” said Cotton Creek Managing Director, Antonio DiGesualdo. “Over this period, Coal City Cob’s customer service and reliability have been unparalleled.”
Post closing, Coal City Cob will continue to be led by President and CEO Michael Cloonen and VP Operations Randy Wasson. The Cloonen family will remain significant shareholders in the company.
“The consummation of our partnership with Cotton Creek represents a significant opportunity for our customers and employees as we combine the capabilities of Coal City Cob with the experience and resources of our new financial partner,” said Mr. Cloonen.
Cotton Creek Capital invests in lower middle market companies in manufacturing, value-added distribution, industrial services, business services, healthcare services and consumer staples. The firm invests in companies with enterprise values between $15 million and $200 million, partnering with management teams on a variety of transactions, including buyouts, recapitalizations, buy-and-builds, and corporate divestitures. Cotton Creek is headquartered in Dallas (www.cottoncreekcapital.com).
The investment in Coal City Cob is being made through Cotton Creek Capital Partners II, LP, Cotton Creek’s second standalone private equity fund.
2014 PEPD • Private Equity’s Leading News Magazine • 11-5-14