SPL, a portfolio company of Industrial Growth Partners, has acquired the laboratory and measurement services business of Banded Iron US (BIG).
The testing services unit of BIG (formerly known as Zedi US) is a provider of more than 200 analytical and measurement services to oil and gas companies throughout the United States.
“We are pleased to be joining forces with what we view as the technology leader within the US energy testing, inspection and certification (TIC) industry,” said Quinn Peterson, the business development manager of BIG. “The combination with SPL will help us grow in new markets, like the liquefied natural gas and finished product export market, and better serve our combined customer base.”
SPL is a provider of hydrocarbon measurement, analysis and reporting services to oil and gas production and transport companies. The company’s services are used to evaluate the composition of hydrocarbons, fine-tune well production, meet regulatory reporting requirements, and ensure accurate payment of royalties to leaseholders.
SPL, led by CEO Jeff Hibbeler, has 18 locations in 8 states with a headquarters in Houston. “Adding BIG to the SPL team helps us better support customers in the nation’s most attractive test and measurement markets,” said Mr. Hibbeler. “With laboratories and technicians located throughout North America, the BIG acquisition will expand SPL’s footprint in key markets such as Wyoming, New Mexico, Colorado, and North Dakota.”
Industrial Growth Partners (IGP) provides equity capital to North American-based niche manufacturers and industrial services businesses with revenues of up to $250 million. IGP was founded in 1997 and is based in San Francisco.
IGP acquired SPL in October 2016 through its $800 million fifth fund, Industrial Growth Partners V LP, and the firm continues to seek add-on acquisitions for SPL in order to expand its energy-related testing, inspection and certification services.
© 2019 Private Equity Professional | November 26, 2019