Palm Beach Capital has made an investment in Neptune Research and its sister company FloTex, providers of infrastructure repair and restoration services.
Neptune Research and FloTex (together NRI) provide materials that are used to repair, protect and reinforce pipes, pipelines and other civil infrastructures. The company’s products are made with moisture-curable and epoxy based carbon fiber, fiberglass, Kevlar and other aramid (a class of synthetic polymers) composite materials. NRI’s customer base includes companies in a variety of industries, including construction, industrial, marine, military, mining, municipalities, offshore, oil & gas, and petrochemical. NRI was founded in 1982 and is headquartered near Palm Beach in Riviera Beach, FL (www.neptuneresearch.com).
“This was an amazing opportunity for NRI to catapult to the next level and we couldn’t have picked a better partner than Palm Beach Capital. They have the knowledge and team to help us continue to revolutionize the composite infrastructure business,” said Chris Lazzara, NRI’s Chairman, President and Chief Executive Officer.
NRI originally developed its pipe repair systems for application within the marine industry. The company’s products caught the attention of the US Navy and in 1996 the company secured its first contract with the US government requiring NRI’s Syntho-Glass system to be carried aboard all Navy vessels. Since that time, the company has doubled every three years in size and revenues as the demand for its products continues to grow. To support this demand, NRI has introduced an average of one new product per year over the last four years, with each product focusing on the company’s participation in the evolution of leak repair and pipe reinforcement.
“We are excited to partner with Chris and the rest of the NRI team and to provide the support necessary for the company to realize the full, global potential of NRI’s revolutionary solutions and service offering,” said Michael Chalhub, a Partner at Palm Beach Capital. “NRI represents a unique opportunity for us to invest at an inflection point where such innovative solutions are so well-timed within the energy, infrastructure and composite industry.”
Palm Beach Capital makes control and non-control investments of $5 million to $50 million in companies with enterprise values from $20 million to $200 million and that have at least $20 million of revenue and a minimum EBITDA of $5 million. Sectors of interest include business services, business process outsourcing, transportation and logistics, and healthcare. Since founding in 2001, Palm Beach Capital has made investments in 42 companies and has approximately $325 million in total assets under management. The firm has offices in West Palm Beach and Tampa (www.pbcap.com).
The investment in NRI was made by Palm Beach Capital through its fourth investment fund, Palm Beach Capital Fund IV, LP.
© 2017 Private Equity Professional | May 17, 2017
