CHARLOTTE, N.C. / April 26, 2022 / Blue Point Capital Partners is pleased to announce the exit of Kendall Vegetation Services, a BPCP IV portfolio company, through the sale of the business to Sterling Investment Partners.
For over 60 years, Kendall has provided vegetation management services to rural electric co-ops, investor-owned utilities and public municipal utilities across the Southeastern and Central United States. With services such as tree trimming, mowing, debris removal and storm restoration, Kendall is dedicated to providing safe and efficient right-of-way maintenance services to a diverse customer base.
As the first institutional investor in the multi-generation family-owned business, Blue Point worked alongside Kendall’s management team to implement new foundational processes and systems, transforming the Company into a highly scalable platform for growth and dramatically increasing EBITDA during its ownership. Kendall adds to Blue Point’s history of investing in utility service businesses.
“With the help and support of Blue Point’s Data & Digital team, we implemented state of the art field technology, financial reporting and operational metrics solutions to improve management of our geographically distributed workforce and enhance customer service,” said Kendall CEO Robert Williams. “The Blue Point team did exactly what they said they were going to do, and their investments in growth initiatives have fortified the business so that our family legacy will live on for years to come.”
“It has been a pleasure to work alongside the Kendall team to position the Company for long-term, sustainable growth,” said Blue Point Partner Brian Castleberry. “Our joint efforts to improve the business created lasting value for Kendall and the utilities they serve; we look forward to seeing the Company’s continued success going forward.”
“Our investment in Kendall served as a continuation of Blue Point’s commitment and experience in the outsourced industrial services sector,” said Blue Point Partner Sean Ward. “We are extremely appreciative of the entire Kendall team, and we are proud of the milestones we achieved together.”
K&L Gates served as legal counsel on the transaction, Stout acted as the Firm’s financial and tax advisor and Piper Sandler served as M&A advisor.
Kendall Vegetation Services provides professional vegetation management services, specializing in right-of-way maintenance, herbicide treatment, storm restoration and power line clearing, to utility customers on both transmission and distribution lines. Service demand is largely driven by regulatory requirements and the need to mitigate power outages.
Blue Point Capital Partners is a private equity firm managing over $1.5 billion in committed capital. With offices in Cleveland, Charlotte, Seattle and Shanghai, Blue Point’s geographical footprint allows it to establish relationships with local and regional entrepreneurs and advisors while providing the perspectives and resources of a global organization. Blue Point has over a two-decade history of partnering with lower middle-market businesses to build processes and capabilities to achieve dramatic growth. The Firm focuses on opportunities where it can leverage its collective experience, extensive network of operating resources and unique toolkit, which includes supply chain / Asian capabilities, data and digital strategies, human capital strategy and focused add-on acquisition efforts. Blue Point typically invests in businesses that generate between $30 million and $300 million in revenue.