Industrial Services Private Equity

% of platform investments since 2000
to % of total platform investments since 2000

The Anderson Group has been investing in industrial service businesses since 1999.

Sample Investments:

  • Partnered with management to acquire a global specialized industrial services business in need of balance sheet reorganization. Completed balance sheet restructuring and closed a strategic add-on acquisition. Company continues to grow as an active investment.
  • Acquired a specialized industrial services business from its inactive parent. Restructured the business as a stand-alone entity and eventually exited the business in a management buy-out.
  • Partnered with the founder of an energy services business. The company expanded geographically and remains an active investment.
  • Acquired a cold storage and packaging service provider that lacked succession planning and leadership. Augmented the leadership team and expanded service offerings, resulting in market share expansion. Company remains an active investment.

Private Equity Case Studies

Thayer Power and Communication Line Construction Co. Inc.

Thayer Power and Communication Line Co. Inc. was a leading provider of utility line engineering and construction services, primarily serving the largest telecom service providers in the nation.

Situation at the Time of The Anderson Group’s Investment:

Thayer was operating in a state of distress following the discovery of fraudulent activity that had occurred over multiple years. The company entered bankruptcy proceedings leading up to the introduction to Anderson.

Anderson Value Add: Anderson acquired the company via an asset sale pursuant to Section 363 within Chapter 11 of the United States Bankruptcy Code and accomplished the following:

  • Established robust corporate governance measures
  • Promoted existing key team members to senior management roles
  • Eliminated unprofitable business lines and expanded into new lines of business/geographies
  • Implemented a new, integrated ERP system
  • Adopted a data-driven decision-making culture
  • Designed and built a new headquarters
  • Reconfigured the Company’s approach to fleet ownership & investment to create a more variable business model in support of geographical expansion

Outcome: Thayer vastly improved its cash conversion cycle while consistently growing market share through the addition and expansion of new and existing customer relationships, geographic footprint, and service lines. Within nine years of Anderson’s investment, sales increased by a factor of 10x, and the company was sold to a financial acquirer.

The Anderson team was a major part of our growth story. They understood and even appreciated our steadfast commitment to providing customers with safe and quality service. They maintained deep knowledge of the business and were always available, any time of day or night, to discuss any topic from an individual employee or customer to new geographic markets or high-level strategic planning. Having that type of resource in our corner was invaluable.

Tim Luden

CEO Thayer Power and Communication

Aerial Wireless Services, LLC

AWS was a regional provider of wireless communication infrastructure construction, integration, and maintenance services to leading wireless communications infrastructure companies.

Situation: AWS was an orphaned division of a large corporate parent company who wished to exit the market. Further, the division was over-burdened with inefficient management and poor financial controls. As a result, AWS was underperforming and unable to capitalize on significant pent-up demand for its services.

Anderson Value Add: Anderson partnered with the divisional manager to acquire the business, providing the new CEO a significant equity stake in the stand-alone business going forward. Anderson worked with the CEO to implement the following:

  • Reconstituted the entire management team, including a new financial and human resources team, and added depth
  • Implemented an integrated ERP system which allowed the company to improve profitability and KPI tracking at the crew, job, and customer level
  • Reinvested in the fleet to expand geographical footprint
  • Entered two new markets

Outcome: The strategic direction provided to AWS, complemented by additional capital, data, and management resources, allowed the company to grow from a start-up to a market leading service provider in the Northeastern United States. AWS operated with a professional management team and impressive financial performance. The business was eventually sold to a strategic acquirer for nearly 40x invested capital.

Anderson and I partnered together to purchase and resurrect a struggling division of a larger business that had great people but needed direction. I had a vision that Anderson helped me to achieve by assisting me in carving out this business in a very tight timeframe and then, more importantly, setting ourselves up as a new company by recruiting a great set of new managers. The financial controls and dedication to data we instilled in our business together, combined with the hard work of a great team, allowed us to become a market share leader in our geographic region in only a few short years. I appreciate Anderson’s ability to share my vision and work with me to make it a reality.

Kevin Cunningham

CEO Aerial Wireless Services