Tuesday, 6 February 2018

S-2432-21 DBN SOLID WASTE SERVICE/REMOVAL IN OIL/GAS FIELDS (Pa., W.Va., Ohio US)



Business Description: Founded in 2010 this company provides full service/comprehensive hazardous and non -hazardous solid waste removal/disposal (drilling mud, cuttings (rock and sediment), contaminated soil, TENORM
waste, trash, etc) and related services and related equipment rental. The company is able to provide customers one stop shopping (one invoice for all services which customers prefer) for comprehensive waste management services and does not need to subcontract ancillary services to third parties as do many of its smaller, less capitalized and less capable competitors.

Distribution: Oil/gas (70%) and other (30%) companies in the Utica and Marcellus Shales in Pennsylvania, Ohio and West Virginia. Largest customer is only 13% of revenue. Customer base of 140 serves about 80 customers each year.  Over 80 MSAs in place.  Company has multiple facilities with equipment and rolling stock repair and maintenance facilities.

Operational Strengths: Revenue is 75% recurring from regular waste transportation disposal. Demand currently exceeds supply of trucking.  Hazardous & non-hazardous licenses are significant barrier to entry. Management team has 100+ years’ experience. A+ safety rating provides certification of disposal for customers.

The Transaction: The owner is looking to retire for personal reasons and is confident that the company could quickly be grown to $10 mm in revenue with an investment in some additional equipment (has equipment to
get to approximately $7 mm rev) and qualified trucking personnel, based on the amount and types of
work the owner is currently turning down (recurring and non-recurring, oilfield and non-oilfield).

Financial Summary($000s)

2017 Est by Seller
2016
2015
2014
Revenue
3,108
2,503
4,462
         5,285
Adjusted EBITDA
1,618
     1,234
1,155
         1,846

Other Highlights
Location
Financials
Management Team in Place
Years in Business
SIC Classification
Pa., W.Va., Ohio
Internal
Yes
7
1382, 1389, 3533






Direct All Inquiries to:

Gottesman Company
Refer to:  S-2432-21 DBN
Tel: 212-330-8010     Fax: 646-434-4557
                                              E-mail: office@gottesman-company.com