Kelso & Co. Buys PowerTeam Services

Kelso & Company has acquired PowerTeam Services. Financial terms were not announced. The sellers were CIVC Partners and True North Equity. Plymouth, Mich.-based PowerTeam provides infrastructure services to the gas and electric utility industry. Harris Williams advised PowerTeam.

PRESS RELEASE

Harris Williams & Co., a preeminent middle market investment bank focused on the advisory needs of clients worldwide, announces the sale of PowerTeam Services, LLC (PTS), a leading provider of infrastructure services to the gas and electric utility industry, to Kelso & Company (Kelso), which will merge PTS with its existing portfolio company Power Holdings.  PTS was a portfolio company of CIVC Partners, LP (CIVC) and True North Equity (TNE).  Harris Williams & Co. acted as the exclusive advisor to PTS.  The transaction closed on May 6, 2013 and was led by John Arendale and Tiff Armstrong, Matt White and Luke Semple from the firm’s Energy & Power (E&P) Group.

“PTS is an exceptional utility services platform with a compelling track record of both organic and acquisition-based growth.  The management team has done an excellent job building a differentiated utility services provider of scale,” said John Arendale, managing director at Harris Williams & Co.  “We are in the early stages of a utility infrastructure investment cycle,” added Matt White, director at Harris Williams & Co. “PTS, in partnership with Kelso, is ideally positioned to capitalize on substantial industry growth.”

PTS provides a comprehensive suite of services for the recurring repair, replacement, maintenance and installation of natural gas and electric transmission and distribution infrastructure.  PTS provides services through three operating units: KS Energy Services, Southeast Connections and Distribution Construction.  Collectively, the company has more than 1,400 employees across 14 states from the upper Midwest to the Southeast.  The entire senior management team will remain with PTS and is committed to continuing to provide exceptional service to their customers.

CIVC is a Chicago-based private equity firm established in 1970 that provides growth and buyout capital to middle market companies and executives with a focus on the business services and financial services sectors. The current management team, which has worked together since 1989, has completed 54 platform transactions and dozens of add-on acquisitions.  CIVC manages over $1.2 billion in private equity capital and currently invests from Fund IV.

Kelso is a private equity firm with a track record of successful middle market investing that spans more than thirty years.  Since 1980, Kelso has made investments in over 115 companies in a broad range of industry sectors.  The firm is currently investing its eighth investment partnership, Kelso Investment Associates VIII, L.P., with $5.1 billion of committed capital.

Harris Williams & Co. (www.harriswilliams.com), a member of The PNC Financial Services Group, Inc. (NYSE:PNC), is a preeminent middle market investment bank focused on the advisory needs of clients worldwide.  The firm has deep industry knowledge, global transaction expertise and an unwavering commitment to excellence.  Harris Williams & Co. provides sell-side and acquisition advisory, restructuring advisory, board advisory, private placements and capital markets advisory services.

The firm’s E&P Group has experience across a broad range of sectors, including oil and gas equipment and services, energy efficiency and clean tech, industrial and infrastructure services, power products and technology, engineering and construction and environmental services.  For more information on our energy and power experience, please contact Tiff Armstrong or Matt White at +1 (804) 648-0072.

Investment banking services are provided by Harris Williams LLC, a registered broker-dealer and member of FINRA and SIPC, and Harris Williams & Co. Ltd, which is authorized and regulated by the Financial Conduct Authority.  Harris Williams & Co. is a trade name under which Harris Williams LLC and Harris Williams & Co. Ltd conduct business.