Ridgemont Equity Partners Acquires Sparus Holdings

Ridgemont Equity Partners Acquires Sparus Holdings




Ridgemont Equity Partners Acquires Sparus Holdings

Growth-Oriented Investment to Accelerate Build-Out of Scaled, End-to-End Utility Services Platform

CHARLOTTE, N.C.–(BUSINESS WIRE)–Ridgemont Equity Partners, a middle market private equity investor, today announced an investment in Sparus Holdings (“Sparus” or the “Company”), a leading provider of critical outsourced field and professional services for utility and industrial customers. The transaction closed in March 2021. Financial terms of the transaction were not disclosed.

Sparus and its subsidiaries, Southern Cross and The Spear Group, provide a complementary suite of field and professional services to customers across utility, industrial, and pharmaceutical end markets. The Company’s technology-enabled service offering includes: gas line inspection and leak detection, utility metering services, utility locate services, project management and delivery, owners’ representation, and other related professional services. Subsequent to Ridgemont’s acquisition of Sparus, the Company acquired Georgia-based OneVision Utility Services to expand its presence in the utility locate and damage prevention segment. Sparus is actively seeking to acquire other providers of field-based and professional utility services.

“Ridgemont’s Environmental, Power & Infrastructure team is focused on investing in differentiated outsourced services platforms that address the increasing needs of our country’s aging infrastructure to operate in a safe, reliable, and compliant manner,” said Ryan Jack, Principal at Ridgemont. “Sparus’ core service offerings and technical talent are critical for its utility customers to maintain and upgrade their assets to ensure grid efficiency and reliability, facilitate the ongoing energy transition, and minimize environmental impacts. We are excited about the growth strategy we’ve developed with Sparus’ management team to expand the Company’s scope of services for existing and new customers.”

“The recent partnership with Ridgemont and subsequent acquisition of OneVision have augmented the growth trajectory for Sparus,” said Rich Summers, CEO of Sparus. “The addition of OneVision to our family of companies enhances our locate and damage prevention service offering and introduces incremental customers to our broader set of end-to-end utility services. Our core brands provide non-discretionary services that have potential application across a wide set of utility customers, and we are focused on continuing the momentum we have built through business line expansion and M&A.”

Oaktree Capital Management’s Middle-Market Finance Group, Citizens Bank, N.A. and PNC Erieview Capital provided financing for the transaction, and Citizens M&A Advisory acted as financial advisor to Ridgemont. Alston & Bird LLP provided legal services to Ridgemont. Harris Williams and Troutman Pepper Hamilton Sanders LLP served as financial advisor and legal counsel to Sparus, respectively.

About Sparus Holdings

Sparus is a leading provider of end-to-end outsourced field and professional services for utility and industrial customers. Through a growing family of brands, including Southern Cross, The Spear Group and OneVision Utility Services, Sparus provides gas line inspection and leak detection, utility metering services, utility locate services, project management and delivery, owners’ representation, and other related professional services. For over 75 years, the Company has been committed to the highest standards of safety and industry expertise to meet the evolving needs of its customers. www.sparusholdings.com

About Ridgemont Equity Partners

Ridgemont Equity Partners is a Charlotte-based middle market buyout and growth equity investor. Since 1993, the principals of Ridgemont have invested over $5.5 billion. The firm focuses on equity investments up to $250 million and utilizes a proven, industry-focused investment approach and repeatable value creation strategies. Ridgemont’s most recent flagship fund, REP III, was formed in 2018 and has $1.65B of committed capital. www.ridgemontep.com

Contacts

Kelly Lineberger

klineberger@ridgemontep.com