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July 2015

EN Engineering

The Transaction

On June 30, 2015, CIVC Partners, L.P. (“CIVC”) completed the sale of EN Engineering (“EN” or the “Company”) to General Atlantic. As part of the transaction, CIVC and EN management will continue to be shareholders going forward.

The Company

EN Engineering is a leading national utility services firm that provides engineering and consulting services to natural gas, electric power, and other energy and industrial end-markets. With over 800 professionals in 13 offices nationwide, EN offers customers an unparalleled spectrum of services with expertise in natural gas and oil pipeline infrastructure, gas distribution, automation systems, integrity management, electric power generation and distribution, and industrial and refinery solutions.

Value-Add Approach

Through in-depth industry research, CIVC identified the outsourced infrastructure services sector as a highly attractive area for investment. In particular, CIVC identified several industry fundamentals driving a long-term secular spending trend. In June 2010, CIVC capitalized on this opportunity by acquiring PowerTeam Services, which provides a comprehensive suite of services for the recurring repair, replacement, maintenance, and installation of natural gas and electric transmission and distribution infrastructure. While partnering with CIVC, PowerTeam’s revenue and operating profit more than quadrupled in less than three years driven by both organic and acquisition-based growth strategies. In May 2013, CIVC exited PowerTeam Services in a successful sale to a strategic buyer with private equity backing.

Building on the success with PowerTeam Services, CIVC acquired EN Engineering in April 2012. With EN, CIVC leveraged its deep business services expertise and experience in the outsourced infrastructure services sector to help management execute a comprehensive growth plan to expand the business in new and existing markets and through the addition of a number of new offices throughout the country. As part of this approach, EN opened 9 new offices since 2012, driving organic revenue growth of over 15% per year. Another key component to this growth strategy was pursuing add-on acquisitions to drive both geographic and service offering expansion. CIVC assisted EN in identifying, executing and integrating two strategic add-on investments which further diversified EN’s customer base, broadened the company’s suite of services, and expanded the geographic footprint. As a result of both organic and acquisition-based growth strategies, revenue more than doubled in three years, headcount increased from approximately 330 employees in 2012 to over 800 in June, 2015, and EBITDA grew at a compound annual growth rate of over 25% (including acquisitions).

The successful sale of EN highlights CIVC’s ability to proactively identify fast-growing sectors and quickly capitalize on the opportunity by acquiring a high-performing operating platform.

About CIVC Partners

CIVC Partners 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 invested approximately $1.5 billion in 57 platform investments and currently invests from CIVC Partners Fund IV.

More information on CIVC Partners and its portfolio companies can be found at www.civc.com. For opportunities in the infrastructure services sector, please contact John Compall (jcompall@civc.com), Chris Perry (cperry@civc.com), or J.D. Wright (jwright@civc.com).

 
 
CIVC PARTNERS: 191 N. Wacker Drive, Suite 1100, Chicago, IL 60606 | © 2017 CIVC Partners. All Rights Reserved.|CIVC PARTNERS: 191 N. Wacker Drive, Suite 1100, Chicago, IL 60606 | © 2016 CIVC Partners. All Rights Reserved.