oil and gas services

Applied-Cleveland Buys Third Add-On

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Applied-Cleveland, a portfolio company of First Reserve, has acquired the Inspection Business of STS Consulting Services. First Reserve acquired Applied-Cleveland in September 2016 from Nautic Partners.

The Inspection Business of STS provides third-party inspection and integrity maintenance services for midstream oil and gas customers across North America. In addition to its third party inspection services, the business also provides safety and risk management plan services, assistance in developing health, safety and environment (HSE) programs for customers, site-based quality assessment and control, and compliance documentation and manuals for midstream operators. The webpage of the Inspection Business of STS is available HERE.

Applied-Cleveland is a provider of third-party inspection, integrity management, environmental, survey, qualification testing and non-destructive examination (NDE) auditing services for energy infrastructure assets in North America across a variety of energy end markets, including transmission, gathering and distribution. The company, led by Chairman and CEO Randy Byers and President Matt Cheney, is headquartered in Cleveland, OK (www.applied-cleveland.com).

“STS’s core offering of third-party inspection to the midstream industry and its commitment to safety and integrity closely mirrors that of our whole organization. We are excited to continue to grow our company on the heels of two additional acquisitions announced earlier this year, and we are pleased to be able to continue offering experienced, highly qualified inspection services to a wide variety of end markets,” said Mr. Byers.

In February 2018, Applied-Cleveland acquired Encompass Energy Services and Perennial Environmental Services. Encompass provides surveying services as well as drafting, geographic information systems, and right-of-way services primarily for oil & gas pipeline infrastructure across North America. The company is headquartered in The Woodlands, TX (www.encompassservices.com). Perennial is a provider of complex environmental permitting services to oil and gas operators. The company has offices in Houston and Austin (www.perennialenv.com).

STS Consulting Services, the seller of the Inspection Business, provides virtually every service needed to complete oil and gas infrastructure projects including engineering, project management, inspection, and other specialized services. The company was founded in 2007 and is headquartered in Longview, TX (www.ststx.com).

First Reserve invests in energy-related companies including those that are active in the resources, equipment and services, and midstream and downstream infrastructure sectors. Since its founding in 1983, the firm has completed more than 550 transactions (including platform investments and add-on acquisitions). First Reserve has offices in Houston, TX; Stamford, CT; and London, UK (www.firstreserve.com).

© 2018 Private Equity Professional | September 17, 2018

Turnbridge Sells ROC to Coral Reef Capital

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Turnbridge Capital has sold its portfolio company ROC Service Company to Coral Reef Capital.  Turnbridge and its co-investment partner Swift River Investments acquired ROC in October 2009.

ROC is a provider of wellsite and facilities services to exploration and production and midstream companies operating across the United States. The company’s service offering includes preparation and installation of wellsites and production facilities; maintenance or replacement of surface facilities; and the decommissioning and abandonment of wellsites. The company operates from eleven offices across eight states and is headquartered northwest of Dallas in Bridgeport, TX (www.rocserviceco.com).

“Since 2009 we have developed a constructive and supportive relationship with the ROC management team and we exit the partnership with gratification for the success realized through our collaboration,” said Rob Horton, Chairman of ROC and a Partner at Turnbridge.  “It was important to Turnbridge, and to the ROC team, that a new partner have both the deep knowledge of the energy sector and credibility to foster continued success at the company, and we have been assured through the process that Coral Reef Capital is well qualified to meet those expectations.”

Coral Reef Capital invests up to $100 million in companies that are active in the natural resources sector, including oil & gas exploration and production, metals & mining, agricultural minerals, energy and related infrastructure and services.  The firm was founded in 2008 by Marceau Schlumberger and is headquartered in New York (www.coralreefcapital.com).

Turnbridge Capital invests in companies that provide services and manufactured products in the upstream, midstream and downstream energy sectors.  Typical transactions involve companies which range in enterprise value from $25 million to $250 million. The firm was founded in 2008 and has offices in Dallas and Houston (www.turnbridgecapital.com).

“Turnbridge’s knowledge and support over the past several years enabled ROC to accelerate its growth and expand its geographic footprint from three districts to the eleven district company it is today, serving top exploration and production customers across most major oil and gas basins in the continental US,” said Mike Richey, CEO of ROC.

Lazard Middle Market served as financial advisor to ROC.  Jones Day provided legal counsel to both ROC and Turnbridge.

© 2015 PEPD • Private Equity’s Leading News Magazine • 4-29-15

HKW Acquires Specialized Tech

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Hammond, Kennedy, Whitney & Company has acquired Specialized Tech, a provider of sand recovery services to the oil and gas industry.

Specialized Tech (STI) provides high pressure sand recovery services to exploration and production customers in the oil and gas industry.  The company was founded in 2001 and is headquartered in Calgary, Alberta (www.specializedtech.ca).

“We are pleased to have HKW as a partner as we move towards continued growth and innovation at STI.  HKW’s experience in our industry is sure to add value and we look forward to growing the business together,” said Chris Hemstock, President of STI.

Hammond, Kennedy, Whitney & Company invests in companies with revenues between $20 million and $200 million and EBITDAs between $2 million and $20 million. Over the past 29 years, HKW has completed 44 platform management buyouts of small middle-market companies throughout North America as well as 46 add-on acquisitions. The firm is headquartered in Indianapolis with an additional office in New York (www.hkwinc.com).

“We are very excited about the partnership with Chris Hemstock and the rest of the management team at STI,” said Luke Phenicie, HKW Partner.  “Through innovation and development they have carved out a nice niche in a growing industry.”

STI was represented exclusively by investment bank Canaccord Genuity (www.canaccordgenuity.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 9-18-13

H.I.G. Capital Invests in Holland Services

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H.I.G. Capital has made an investment in Holland Services, a land services company focused on the energy sector.

“We are very excited about this next stage for Holland. The investment from H.I.G. provides us with financial and operating resources that will enable us to further capitalize on our significant growth potential. This is an exciting time in our industry, and we look forward to working with H.I.G. given their knowledge of our industry and previous experience investing in the oilfield services sector,” said Robert Gaudin, Founder and CEO of Holland.

Holland Services provides land advisory services to companies operating in the oil and gas, transportation, utilities, telecommunications and power industries. Services include acquiring, selling and developing land and mineral rights. The company was founded in 1985 and is headquartered in Fort Worth with additional offices in Houston and Pittsburgh (www.hollandservices.com).

“Robert and his team have built a best-in-class company, and have established true partnerships with a growing base of clients,” said Jeff Zanarini, a Managing Director of H.I.G. “We believe there are numerous market opportunities, both in new basins and new ancillary services, and we look forward to supporting Holland in continuing to set new standards of excellence in the land advisory business.”

Financing for the transaction was provided by THL Credit (www.thlcredit.com). The investment in Holland is the second time THL and H.I.G. have partnered to invest in the oilfield services sector.

H.I.G. Capital specializes in providing capital to small and medium-sized companies and invests in management-led buyouts and recapitalizations of manufacturing or service businesses. H.I.G. Capital has more than $12 billion of equity capital under management. The firm was founded in 1993 and is based in Miami with additional offices in Atlanta, Boston, Chicago, Dallas, New York, San Francisco, London, Hamburg, Madrid, Paris, and Rio de Janeiro (www.higcapital.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 6-6-13

Calvert Street Acquires JC Inspection and Xxtreme Pipe Services

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Inspection Oilfield Services, a Calvert Street Capital Partners portfolio company, has acquired JC Inspection and Xxtreme Pipe Services.

“The acquisitions of JC Inspection and Xxtreme represent important strategic additions to the Inspection Oilfield Services platform, further diversifying the company’s capabilities, customer base, and growth opportunities while adding significant scale,” said Brian Guerin of Calvert Street.

JC Inspection (JCI) is a provider of drill tool inspection and repair services.  JCI was founded in 2001 and has more than 90 employees and maintains offices in Houston and Midland, TX (www.jcinspection.com).

Xxtreme is a provider of inspection, threading, repair and storage services for oil country tubular goods companies.  The company was founded in 2003 and is based in Houston, TX (www.wolfpackenergy.com/xxtreme_companies).

“JCI and Xxtreme represent two very strong companies, both of whom we have known and admired for a number of years, and we are very excited to welcome them to the IOS team. With shared cultures focused on safety, quality, and customer service, both JCI and Xxtreme will greatly enhance IOS’s overall service offering, footprint and talent.”

Inspection Oilfield Services provides non-destructive testing, inspection, threading, storage, cleaning and repair services for tubular products and tools used in oil and gas drilling and production. The company has 28 fixed locations across Louisiana, Texas, New Mexico, Kansas, Nebraska, North Dakota, West Virginia, Pennsylvania, New York and Ohio, and significant mobile inspection operations.  Inspection Oilfield Services is headquartered in Lafayette, LA (www.iosinspection.com).

Calvert Street makes control investments in niche manufacturing and business service companies that have a minimum of $5 million of EBITDA and are located in the US or Canada. The firm is based in Baltimore, MD (www.cscp.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 1-18-13