#United States #Atlanta #Water Infrastructure #Eagle Merchant #Atlantic Pipe

Eagle Merchant Partners Invests in Atlantic Pipe Services

Eagle Merchant Partners, a private equity firm based in Atlanta, has recently concluded a strategic investment in Atlantic Pipe Services (APS). This partnership aims to bolster water infrastructure solutions that are vital for stormwater and wastewater management in Florida. Founded in 2017, APS has cemented its reputation as a prominent provider of inspection, cleaning, and rehabilitation services across the state, establishing itself as one of the largest entities in the field.

APS operates from seven locations across Florida, offering an extensive repertoire of maintenance and trenchless rehabilitation services tailored for both municipal and commercial clients. The company’s rapid growth reflects an increasing demand for sustainable solutions to aging water infrastructure, particularly in light of the challenges that many communities face regarding water management and environmental sustainability.

Future Growth and Development

In a joint statement, both Eagle Merchant Partners and APS expressed their excitement about the future of their collaboration. Jon Hall, the CEO of APS, articulated his pride in the company’s accomplishments over a short span of years, highlighting its journey from concept to a well-respected business known for quality service and commitment to safety. He emphasized that the partnership with Eagle Merchant aligns with their core values and ambitions for future growth, thus marking a significant milestone for APS.

Eagle Merchant Partners is committed to accelerating APS's expansion by exploring new geographic territories and implementing further investments in human resources and advanced equipment. The strategy also includes pursuing strategic acquisitions to enhance APS's service capabilities and broaden its market reach. John Egan, representing Eagle Merchant Partners, remarked on the essential role that APS plays in maintaining robust municipal infrastructures and stressed the importance of reliability and technical expertise that APS has cultivated over the years.

Investment Background

This recent investment represents Eagle’s fourth platform investment from its second fund and its sixth venture in the commercial services domain. The private equity firm aims to deepen APS’s municipal relationships while scaling their existing operations. This strategy comes at a time when water infrastructure is becoming increasingly vital, and the demand for effective solutions to manage and rehabilitate these systems is on the rise.

Financial advisory roles in this transaction were filled by William Blair for APS and Raymond James for Eagle, while legal counsel was provided by Burr Forman for APS and King & Spalding for Eagle Merchant Partners. The debt financing necessary for this investment was secured through Principal Asset Management, showcasing a robust financial framework supporting this initiative.

Conclusion

Eagle Merchant Partners' investment in Atlantic Pipe Services not only signifies a pivotal moment for the company but also highlights the critical need for enhanced focus on water infrastructure sustainability. As both firms work together, the anticipated growth and improvements in service delivery promise to positively impact communities across Florida. This partnership sets a precedent in the commercial services sector, underlining the importance of strategic collaborations in fostering growth and innovation in essential service industries.