Nautic Partners has acquired Applied Consultants, a provider of inspection services to the oil and gas pipeline infrastructure industry. Applied is Nautic Partners’ thirteenth investment from its most recent fund, Nautic Partners VI, LP.
Applied Consultants is provider of inspection services to pipelines, compressor stations and processing facilities used in midstream oil and gas energy transport. Major oil and gas midstream companies utilize Applied’s inspection services to ensure that pipeline infrastructure is constructed in accordance with standards and procedures. Third party inspection services are critical in the construction of pipeline infrastructure not only because they are often required by regulation, but also because they play a significant role in avoiding problems that can be very expensive for energy companies to remedy once pipelines are in service. The company has over 450 inspectors working with clients in states across the country including Texas, Oklahoma, Louisiana, West Virginia, Ohio, Pennsylvania, and North Dakota. Applied Consultants was founded in 1991 and is headquartered in Longview, TX (www.appliedconsultants.com).
“Applied has been able to grow its business every year since it was founded 22 years ago,” said Doug Hill, Managing Director of Nautic. “That’s a testament to the strength of the Applied management team and their focus on always putting the customer first. We think Applied will continue to thrive, as the surge in US energy development continues to demand the build-out of new pipeline infrastructure to support increased production. We also believe that increases in regulation of energy development will support customers demanding more inspection services from high-quality, trusted partners like Applied.”
Nautic Partners is a middle-market private equity firm with over $2.5 billion of equity capital under management. Nautic targets majority equity investments of $25 million to $75 million. Sectors of interest include business services, manufacturing, and healthcare. Nautic is currently investing its most recent fund, Nautic Partners VI, a $780 million fund which closed in June 2008. The firm was founded in 1986 and is located in Providence, RI (www.nautic.com).
“We are very pleased to partner with Nautic and look forward to their strategic and financial support,” said Applied CEO Matthew Cheney. “I am confident we are entering an exciting new chapter for Applied, which should see significant growth and further success in the years to come.”
Fifth Third Bank and Triangle Capital Corporation provided financing for the transaction.
© 2013 PEPD • Private Equity’s Leading News Magazine • 7-15-13
