Gryphon Investors To Sell Hepaco To Clean Harbors For $400 Million
SAN FRANCISCO, Feb. 6, 2024 /PRNewswire/ -- Gryphon Investors ("Gryphon"), a leading middle-market private equity firm, announced today that it has signed an agreement to sell HEPACO, LLC ("HEPACO" or "the Company") to Clean Harbors Inc. ("Clean Harbors") (NYSE: CLH), a leading provider of environmental and industrial services, in a transaction valued at $400 million. The transaction is subject to customary closing conditions.
Gryphon initially invested in the Company in August 2016 and completed seven add-on acquisitions during its ownership. Headquartered in Charlotte, NC, HEPACO is a trusted provider of emergency response and scheduled environmental services. HEPACO's offerings include critical emergency response, field and industrial services, and environmental remediation. The Company's clients stem from a variety of industries, including transportation, utilities, and energy. HEPACO operates out of 40+ service centers throughout the Eastern United States, with approximately 1,000 employees.
Alex Earls, Partner and Head of Gryphon's Business Services Group, said, "We have greatly enjoyed partnering with HEPACO management to build a premier company in the environmental and emergency services industry while more than tripling revenue and EBITDA. We are confident that Clean Harbors will be an excellent home for HEPACO, and we believe that Clean Harbors will accelerate HEPACO's ongoing growth initiatives."
HEPACO CEO Robb Schreck commented, "Gryphon's value-added support throughout our partnership helped us drive above-market growth and significantly expand our service offerings. HEPACO management looks forward to working with Clean Harbors to continue driving growth and executing on our mission-critical environmental service work."
Phil Petrocelli, Gryphon Business Services Operating Partner, added, "Through organic operational initiatives and several highly strategic add-ons, HEPACO has significantly expanded its geographical reach, increased service area density, and diversified its offerings, emerging as a leading environmental service provider in the Eastern United States. We are proud of our accomplishments throughout our partnership with the HEPACO team and wish them much continued success."
Piper Sandler Companies and Houlihan Lokey, Inc. served as financial advisors to HEPACO, while Kirkland & Ellis LLP and Moore & Van Allen PLLC acted as legal advisors to the Company.
About HEPACO
HEPACO (www.hepaco.com) is a leading environmental and emergency services company in the Eastern United States with coverage across 40+ regional locations. The Company specializes in emergency response, remediation, and industrial and marine. HEPACO services a multitude of industries including transportation, utilities, energy, environmental consultants, industrial facilities, terminals, environmental service companies, general contractors, property owners, and the public sector.
About Gryphon Investors
Gryphon Investors (www.gryphoninvestors.com) is a leading middle-market private equity firm focused on profitably-growing and competitively-advantaged companies in the Business Services, Consumer, Healthcare, Industrial Growth, and Software sectors. With approximately $9 billion of assets under management, Gryphon prioritizes investments in which it can form strong partnerships with founders, owners, and executives to accelerate the building of leading companies and generate enduring value through its integrated deal and operations business model. Gryphon's highly-differentiated model integrates its well-proven Operations Resources Group, which is led by full-time, Gryphon senior operating executives with general management, human capital acquisition and development, treasury, finance, and accounting expertises. Gryphon's three core investment strategies include its Flagship, Heritage, and Junior Capital strategies, each with dedicated funds of capital. The Flagship and Heritage strategies target equity investments of $50 million to $350 million per portfolio company. The Junior Capital strategy targets investments in junior securities of credit facilities, arranged by leading middle-market lenders, in both Gryphon-controlled companies, as well as in other private equity-backed companies operating in Gryphon's targeted investment sectors.
Contact:
Lambert
Caroline Luz
203-570-6462
cluz@lambert.com
or
Jennifer Hurson
845-507-0571
jhurson@lambert.com
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SOURCE Gryphon Investors
