Littlejohn & Co. has signed an agreement with Compass Diversified Holdings for the sale of Clean Earth, a processor of contaminated soil. The transaction is expected to close in the third quarter.
Clean Earth is one of the largest processors of contaminated soil, dredge sediments, hazardous and non-hazardous soils on the East Coast. The company provides solutions for facilities-based treatment, disposal and re-use of soil, dredge and other non-hazardous materials and handles over three million tons of material annually from New York down to Florida through a network of 12 full-service soil facilities. The company is based north of Philadelphia in Hatboro, PA (www.cleanearthinc.com).
“We would like to thank Chris Dods for his leadership as CEO and the way he repositioned the company over the past several years. He and Clean Earth’s broad senior management team expanded the company’s permitted capabilities and demonstrated a consistent ability to complete strategic acquisitions all while maintaining the company’s stellar reputation for quality environmental stewardship,” said David Simon, Managing Director of Littlejohn & Co.
Littlejohn & Co. makes control and non-control investments in middle-market companies that are undergoing a fundamental change in capital structure, strategy, operations or growth. Littlejohn invests in middle market companies with annual revenues typically between $100 million and $800 million, and generally invests $50 to $150 million of equity in its private equity investments. The firm invests across a broad range of industries and acquires manufacturers, distributors, and service providers. Littlejohn is currently investing from Littlejohn Fund V which has over $2 billion in capital commitments. The firm is based in Greenwich, CT (www.littlejohnllc.com).
Compass Diversified Holdings (NYSE: CODI) is a private equity firm specializing in acquisitions, buyouts, and middle market investments. The firm invests between $100 million and $500 million in companies that have cash flows between $10 million and $450 million, enterprise values between $100 million and $500 million, and an EBITDA between $8 million and $50 million. Sectors of interest include manufacturing, distribution, consumer products, and business services companies. Compass Diversified Holdings was founded in 2005 and is based in Westport, CT (www.compasstrust.com).
Houlihan Lokey is acting as financial advisor and Morrison Cohen is acting as legal advisor to Clean Earth.
2014 PEPD • Private Equity’s Leading News Magazine • 8-12-14