Littlejohn & Co LLC said Dec. 20 that it closed its sale of GSE Holding Inc to Groupe Solmax Inc. Financial terms weren’t announced. GSE, of Houston, provides geosynthetic containment solutions for environmental protection and confinement applications. Littlejohn and SVPGlobal acquired GSE in 2014. Moelis & Co provided financial advice to GSE while Pepper Hamilton LLP served as legal adviser.
December 20, 2017 — Littlejohn & Co., LLC (“Littlejohn”) and certain funds and accounts managed by Strategic Value Partners, LLC (“SVPGlobal”) today announced that they have completed the sale of GSE Holding, Inc. (“GSE” or the “Company”), a leading global provider of highly engineered geosynthetic containment solutions for environmental protection and confinement applications, to Groupe Solmax Inc. (“Solmax”). Financial terms of the transaction were not disclosed.
Headquartered in Houston, TX, GSE serves as an integral partner to its end customers by providing geosynthetic lining solutions, including geomembranes, geosynthetic clay liners, geotextiles, and various specialty products, that are mission-critical and often mandated by regulatory authorities, for the safe containment of materials and groundwater protection. The Company operates out of seven manufacturing facilities across the United States, Thailand, China, Germany, and Egypt, and serves a diverse set of end markets, including environmental management, liquid containment, agriculture, civil engineering, coal ash containment, mining, and oil and gas.
Littlejohn and SVPGlobal acquired GSE in 2014 and hired Bob Preston to serve as Chief Executive Officer following the transaction. Since that time, Littlejohn and SVPGlobal have worked closely with him and the rest of the senior management team to expand the Company’s global manufacturing capabilities, broaden its product offering, and drive cost saving improvements in procurement and lean daily management to strengthen GSE’s value proposition as a supplier of premium and cost-competitive containment solutions.
Bob Preston, Chief Executive Officer of GSE, said, “Littlejohn and SVPGlobal provided valuable assistance that enabled us to secure significant new business over the last three years and to drive substantial operational improvements throughout our organization. By joining forces with Solmax, the combined organization remains well-positioned to provide our customers with innovative products, local engineering and customer support, and a low-cost and flexible worldwide manufacturing footprint.”
Tony Miranda, Managing Director of Littlejohn, added, “It has been a pleasure to partner with Bob Preston and the rest of the management team to build on GSE’s legacy as a global leader in geosynthetic lining solutions. During our partnership, management successfully revamped the Company’s go-to-market strategy, optimized its manufacturing footprint, and invested significant capital to drive future growth. As a result of this strong execution, GSE more than doubled earnings under our ownership.”
Victor Khosla, founder and Chief Investment Officer of SVPGlobal, added, “We would like to thank the GSE team for their hard work over the last three years. The combined platform enjoys a bright future as a technology and innovation leader, featuring best-in-class products and solutions that drive value for its customers across the globe.”
Pepper Hamilton LLP served as legal advisor and Moelis & Company served as financial advisor to GSE.
About Littlejohn & Co., LLC
Littlejohn & Co. is a Greenwich, Connecticut-based investment firm focused on private equity and debt investments primarily in middle market companies. With over $5 billion under management, the Firm seeks to create long-term value for its investors and build sustainable success for its portfolio companies through a disciplined approach to engineering change. For more information about Littlejohn, visit http://www.littlejohnllc.com (http://cts.businesswire.com/ct/CT…) .
About Strategic Value Partners, LLC
SVPGlobal was founded in 2001 by Victor Khosla. With $6.9 billion in assets under management, SVPGlobal is a global investment firm with primary offices in Greenwich, London, Frankfurt and Tokyo, focused on distressed and deep value investments. SVPGlobal seeks to create value in its investments through its substantial industry, restructuring and operating experience. For more information on SVPGlobal, visit http://www.svpglobal.com(http://cts.businesswire.com/ct/CT…)