The Sterling Group has acquired two industrial cleaning companies: Ballston Spa, New York-based North American Industrial Services and La Porte, Texas-based Evergreen Industrial Services. No financial terms were disclosed.
HOUSTON, June 20, 2016 /PRNewswire/ — The Sterling Group, a private equity firm based in Houston, Texas, announced the simultaneous acquisitions of North American Industrial Services (“North American”) and Evergreen Industrial Services (“Evergreen”). The combination of the two businesses will form a new leader in industrial cleaning and related specialty cleaning services.
Headquartered in Ballston Spa, New York, North American serves a diverse set of end markets with a strong geographic presence in the Northeast, Midwest, and Rocky Mountain regions. Headquartered in La Porte, Texas, Evergreen is a leader in the Texas and West Coast petrochemical, refining, and midstream end markets. North American founders, Frank and Tim Zilka, and Evergreen founder Jon Hodges will continue to run their respective businesses and have meaningfully reinvested in the new company.
“Frank and Tim Zilka and Jon Hodges have built exceptional businesses that will be even stronger as one organization,” said Kevin Garland, a Partner at The Sterling Group. “Together, with the addition of several tenured industry executives, we will execute on our collective vision to continue to grow organically and into new markets, offering an expanded ability to serve the new company’s diverse customer base across the United States.”
Mark Neas, former President of Brand Energy Solutions has been named CEO of the new company. “Through the combination of these two leading companies, we will build upon the strong market presence, reputation, and history of growth of both companies,” said Mark Neas. “Our larger combined company, supported by Sterling’s partnership, will provide us access to the necessary resources to support this exciting next phase of growth for our business.” Phil Hawk, former CEO and continuing Executive Chairman of TEAM Inc. (NYSE: TISI) has been named Executive Chairman of the new company.
Sterling has deep experience partnering with management teams in the industrial service sector. Past investments include HydroChem, Hudson and B&G Crane.
About The Sterling Group
Founded in 1982, The Sterling Group is a private equity investment firm that targets controlling interests in basic manufacturing, distribution and industrial services companies. Typical enterprise values of these companies range from $100 million to $750 million. Sterling has sponsored the buyout of 48 platform companies and numerous add-on acquisitions for a total transaction value of over $10.0 billion. Currently, Sterling has over $2.3 billion of assets under management. For further information, please visit www.sterling-group.com.