Blue Point Capital Partners has sold its portfolio company Sylvan, a provider of industrial pipe installation and fabrication services, to E3Tech. As part of the transaction, Blue Point made a minority investment in Sylvan. Blue Point acquired Sylvan in March 2018 through its $425 million third fund, which closed in November 2014.
Sylvan provides mechanical and industrial contracting services for large-scale design, fabrication, and installation projects for new construction and renovation, as well as ongoing maintenance and repair services. The company’s capabilities include pipe design, fabrication, and installation; millwright and rigging; turbine maintenance; boiler and chiller repair and erection; and other industrial maintenance services.
Many of Sylvan’s customers operate in the automotive, energy, government, education, data center, consumer products, oil and gas, material handling, and food and beverage sectors. Founded in 1956, Sylvan is headquartered in Cleveland, with additional locations in Phoenix, Dallas, and Mexico.
In 2021, Sylvan acquired Great Lakes Mechanical, a provider of HVAC and commercial building services with sheet metal fabrication capabilities. In 2024, Sylvan acquired Anchor Conveyor Products and formed the Sylvan Conveyance Group to strengthen its service capabilities in material handling and conveyor systems. Over the course of Blue Point’s ownership, these add-on acquisitions contributed to a 500% increase in employee headcount and revenue growth of approximately 500% at Sylvan.
“Sylvan’s partnership with Blue Point has been pivotal in our growth journey,” said Rob Metz, the CEO of Sylvan. “Their support and commitment helped us overcome challenges, seize new opportunities, and build a stronger, more resilient company—all while maintaining the highest level of customer service and flawless project execution.”
“Working alongside the Sylvan team has been a rewarding experience, and we are proud of what we have created together,” said Jonathan Pressnell, a partner at Blue Point. “Collectively, we have implemented operational enhancements, including the addition of key personnel, new services and geographies and the roll out of multiple technology enhancements, including ERP, project and safety management tools and artificial intelligence, to drive efficiency and data-driven decision making.”
E3Tech, the buyer of Sylvan, is a private equity firm co-founded by Rudy Adolf and Rajini Kodialam, in partnership with venture capital firm Andreessen Horowitz. E3Tech seeks to invest in companies with entrepreneurial management teams to drive growth, innovation, and value creation by leveraging industry-changing technologies and add-on acquisitions.
According to E3Tech, several emerging technologies—such as Building Information Modeling (BIM), Artificial Intelligence (AI), Virtual Reality (VR), Augmented Reality (AR), drones, and wearable devices—are transforming all aspects of the mechanical, electrical, and plumbing services sectors.
“We are delighted to invest in a management team that has demonstrated excellent growth supporting highly sophisticated customers on mission-critical projects,” said Mr. Adolf. “Sylvan is well positioned to benefit from strategic reshoring and supply chain resiliency initiatives and support the strong demand for AI data centers and energy infrastructure projects. Sylvan will be an ideal partner for many smaller and medium-sized companies in the mechanical, electrical, and plumbing (MEP) space.”
Blue Point invests in companies active in the industrial, business services, consumer, and value-added distribution sectors, with revenues between $30 million and $300 million and EBITDA greater than $7 million. The firm is currently investing through its 2022 vintage $700 million fifth fund. Founded in 2000, Blue Point has offices in Cleveland, Charlotte, Seattle, and Shanghai.
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