LDC Exits A-Gas in Sale to KKR
- A-Gas,
a market leader in the distribution and life-cycle management of
specialty gases and chemicals, to global investment firm, KKR.
The transaction value is undisclosed.
LDC originally invested £29m in A-Gas in 2011 to support the group’s growth strategy, followed by £30m of additional acquisition capital to assist the business in completing six acquisitions designed to expand its geographic footprint and service capabilities. Today, A-Gas operates from 16 sites across Europe, Australia, South Africa and North America.
It has also expanded its service capabilities from distribution to full recovery and reclamation of a wide range of environmentally sensitive gases and chemicals used in cooling, refrigeration and fire protection, providing end-to-end management for its global customer base.
Between 2011 and 2016, the business grew revenues 79% and profits (EBITDA) 103%. The sale, which is subject to customary regulatory clearances, will see LDC achieve a 3.3x money multiple on its original investment and an IRR of 24%.
Andrew Ambrose, Group CEO of A-Gas, said: “Our partnership with LDC has enabled us to build a group with real global scale and breadth of offering, whilst remaining fully focused on our commitment to technical excellence and customer service. LDC’s financial, strategic and operational support over the last six years has been a key ingredient in our success, helping to transform the group and creating a platform for continued growth.
“Securing the backing of a global investment firm like KKR now enables us to continue our expansion in a growing and highly complex market from a position of real strength, which will benefit our customers and employees alike.”
Martin Draper, CEO of LDC said: “Our journey with A-Gas is an excellent example of how private equity can unlock the potential in a business, particularly through a buy and build strategy. The six strategic acquisitions and integration of those businesses has resulted in a near doubling of revenues and tripling of employee numbers since our original investment.”
He added: “We’re proud to have supported such an ambitious management team over the last six years and we wish them all the best on the next stage of their growth journey.”
About A-Gas Americas:
A-Gas Americas, headquartered in Bowling Green, Ohio, is a trading subsidiary of A-Gas International (headquartered in Bristol, UK) and is the largest refrigerant recovery and reclamation company in the United States. The company’s core business offers environmental solutions and lifecycle management services for ozone depleting substances and global warming agents including CFCs, HCFCs, HFCs and Halons in the HVAC/Refrigeration and Fire Suppression Industries. For more information about A-Gas Americas, please visit www.agasamericas.com.
ContactsMoxie Creative & Consulting, Inc.
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Deborah Beroset, 312-869-2299
deb@itstimeformoxie.com
www.itstimeformoxie.com
BOWLING GREEN, Ohio–(BUSINESS WIRE)–LDC, the UK’s leading mid-market private equity investor, has exited its
investment in A-Gas,
a market leader in the distribution and life-cycle management of
specialty gases and chemicals, to global investment firm, KKR.
The transaction value is undisclosed.
LDC originally invested £29m in A-Gas in 2011 to support the group’s
growth strategy, followed by £30m of additional acquisition capital to
assist the business in completing six acquisitions designed to expand
its geographic footprint and service capabilities. Today, A-Gas operates
from 16 sites across Europe, Australia, South Africa and North America.
It has also expanded its service capabilities from distribution to full
recovery and reclamation of a wide range of environmentally sensitive
gases and chemicals used in cooling, refrigeration and fire protection,
providing end-to-end management for its global customer base.
Between 2011 and 2016, the business grew revenues 79% and profits
(EBITDA) 103%. The sale, which is subject to customary regulatory
clearances, will see LDC achieve a 3.3x money multiple on its original
investment and an IRR of 24%.
Andrew Ambrose, Group CEO of A-Gas, said: “Our partnership with LDC has
enabled us to build a group with real global scale and breadth of
offering, whilst remaining fully focused on our commitment to technical
excellence and customer service. LDC’s financial, strategic and
operational support over the last six years has been a key ingredient in
our success, helping to transform the group and creating a platform for
continued growth.
“Securing the backing of a global investment firm like KKR now enables
us to continue our expansion in a growing and highly complex market from
a position of real strength, which will benefit our customers and
employees alike.”
Martin Draper, CEO of LDC said: “Our journey with A-Gas is an excellent
example of how private equity can unlock the potential in a business,
particularly through a buy and build strategy. The six strategic
acquisitions and integration of those businesses has resulted in a near
doubling of revenues and tripling of employee numbers since our original
investment.”
He added: “We’re proud to have supported such an ambitious management
team over the last six years and we wish them all the best on the next
stage of their growth journey.”
About A-Gas Americas:
A-Gas Americas, headquartered in Bowling Green, Ohio, is a trading
subsidiary of A-Gas International (headquartered in Bristol, UK) and is
the largest refrigerant recovery and reclamation company in the United
States. The company’s core business offers environmental solutions and
lifecycle management services for ozone depleting substances and global
warming agents including CFCs, HCFCs, HFCs and Halons in the
HVAC/Refrigeration and Fire Suppression Industries. For more information
about A-Gas Americas, please visit www.agasamericas.com.
Contacts
Moxie Creative & Consulting, Inc.
Deborah Beroset, 312-869-2299
deb@itstimeformoxie.com
www.itstimeformoxie.com
