Monday, 4 February 2019

S-4-7 ROB Market Leading Provider Of Wind Turbine Foundations (Central US)



Business Description:
This Company is a predominant provider of concrete foundations for wind turbines.  Its business model is built around mobility and redundancy which enable it to work in remote locations.  The Company has no debt; is exceptionally efficient; and has had consistent year-over-year growth and significant margins producing a strong and reliable cash flow.

Distribution:
The Company is the national leader in providing mobile construction services in remote locations to wind energy developers and, to date, has installed over 2,200 foundations in 21 states.  It has a superior reputation in the market and a current backlog of over $70 million in new orders, most of which are expected to be fulfilled in 2019.

Operational Strengths:
The Company is known throughout the industry for its competitive pricing plus the technical proficiency, superior quality and high reliability of its work which are crucial for the long-term efficiency and smooth operating performance of wind turbines.  A unique competitive advantage is the Company’s ability to work in remote locations.  In part, this is enabled by its inventory of over 125 pieces of heavy construction equipment and the means to quickly transport this equipment and staff of 100 anywhere in the lower 48 states, giving it the capacity to execute $100 million in annual sales.  Consequently, it is among the leading vendors in the institutional segment of the turbine installation market.

The Transaction:
The owner wishes to sell the entire Company and remain for a negotiated transition period.  The management team plans to continue with the business.  Key investment considerations include: leading market position; highly professional, committed project managers and staff; fast-growing demand for new and refurbished wind turbines; existing capital equipment capacity to handle three times current sales.

Financial Summary ($000)

2018
2017
2016
Revenue
33.9
26.9
40.4
Adjusted EBITDA
6.4
6.0
5.5

Other Highlights
Location
Financials
Management Team in Place
Years in Business
SIC Classification
Central USA
Reviewed
Yes
13
1771


 Direct All Inquiries to:

Gottesman Company
     Refer to:  S-4-7 ROB
Tel: 212-330-8010     Fax: 646-434-4557
                                         E-mail: office@gottesman-company.com