News

Acquisition

July 30, 2010

The Sterling Group, L.P. Completes Acquisition of Express

The Sterling Group, L.P. (“Sterling”), a Houston-based private equity investment firm, today announced that it has completed the acquisition of a majority interest in CCCG, LLC and its subsidiaries, including Express Integrated Technologies and Express Metal Fabricators (collectively, “Express”). The acquisition was financed with equity from Sterling Group Partners II, L.P. and debt financing from BNP Paribas.

Express, headquartered in Tulsa, OK, is an independent manufacturer engaged in the engineering, design and fabrication of heat transfer, environmental compliance, and sound suppression equipment. The company primarily serves the power generation, refining, chemical, exploration and production, and mining industries. Its primary products include Once-Through Steam Generators, heat Recovery Steam Generators, Simple Cycle Catalyst Systems, Fired Heaters and Waste Heat Recovery Units.

Express was founded by the Cowan family in 1979, and Express Integrated Technologies was established in 2000. Terry Cowan, CEO, and other key management, Jerry Cowan, John Hare, and Philip Childers, will continue their substantial ownership in the business going forward. “We are pleased The Sterling Group has agreed to partner with Express and are eager to capitalize on the many opportunities this new relationship presents. Our new partnership, rooted in the Express management team’s past success and Sterling’s deep knowledge and experience, will effectively drive the transformation of the company in its next phase of growth,” said Terry Cowan, who will remain CEO of Express.

“Over the past 30 years, the Cowan family has successfully developed Express into a leader in the design and fabrication of key process units that serve the North American energy industry,” said Kevin Garland, a Partner of The Sterling Group. “Management has earned a best-in-class reputation based on the company’s engineering capabilities, superior product performance and customer service. We at Sterling are truly excited to acquire an industry leading franchise and partner with management in order to grow the business and create value for all shareholders.”

About The Sterling Group, L.P.
Founded in 1982, The Sterling Group is a private equity investment firm that targets controlling interests in basic manufacturing, industrial services and distribution companies. Typical enterprise values of these companies range from $100 million to $500 million. Sterling has sponsored the buyout of 38 platform companies and numerous add-on acquisitions for a total transaction value greater than $8.6 billion. Currently, Sterling has $1.3 billion of committed capital under management through three funds. Current portfolio companies include North American Energy Partners Inc., CST Industries, Inc., Roofing Supply Group, LLC, Universal Fiber Systems, LLC, Velcon Filters, LLC and B&G Crane Services, LLC.



Acquisition

July 29, 2010

The Sterling Group, L.P. Completes Acquisition of B&G Crane Services

The Sterling Group, L.P. (“Sterling”), a Houston-based private equity investment firm, today announced that it has completed the acquisition of B&G Crane Services, LLC (“B&G”). The acquisition was financed with equity primarily from Sterling Group Partners II, L.P. and debt financing from Wells Fargo Capital Finance, BNP Paribas, Capital One Leveraged Finance and Whitney Bank.

Headquartered in New Orleans, Louisiana, B&G specializes in providing fully operated and maintained crane services, heavy rigging and specialty hauling services in the Louisiana Gulf Coast region. The Company has a fleet of over 100 cranes ranging from 6 to 825 tons in capacity and a truck fleet of over 50 vehicles. The Company’s crane rental fleet consists primarily of rough terrain, lattice boom truck cranes, crawler cranes and hydraulic truck cranes. The specialty hauling division includes modular platform trailers, gantry lift systems and specialty truck hauling capabilities. B&G’s primary market consists of petrochemical, refining and industrial customers within a 150 mile radius of the Company’s New Orleans and Baton Rouge facilities.

B&G was founded in 1946 by Xavier J. Grilletta Sr. His son, Xavier J. Grilletta Jr., has been CEO since 2007 and has worked for B&G for more than 32 years. The Grilletta family and members of management will continue to be meaningful shareholders in B&G in partnership with Sterling. “B&G has spent over 60 years building a blueprint for success in the crane and heavy rigging industry throughout Southern Louisiana. We are thrilled to combine forces with The Sterling Group and duplicate this success in other regions of the Gulf Coast. Our combined experience and resources create great opportunities for growth and continued success in the industry,” said Xavier J. Grilletta Jr., who will remain CEO of B&G and continue working alongside other family members and senior management.

“Xavier, his family and their employees have established a tremendous reputation over the last 64 years for providing safe and efficient crane services in the Louisiana Gulf Coast region. We look forward to working with Xavier and the rest of the management team to continue to provide outstanding service to B&G’s customers and grow the business,” said Kent Wallace, a Partner of The Sterling Group. “B&G has significant growth opportunities both in its core Louisiana market and in the Texas Gulf Coast and Mississippi Gulf Coast markets.”

About The Sterling Group, L.P.
Founded in 1982, The Sterling Group is a private equity investment firm that targets controlling interests in basic manufacturing, industrial services and distribution companies. Typical enterprise values of these companies range from $100 million to $500 million. Sterling has sponsored the buyout of 37 platform companies and numerous add-on acquisitions for a total transaction value greater than $8.5 billion. Currently, Sterling has $1.3 billion of committed capital under management through three funds. Current portfolio companies include North American Energy Partners Inc., CST Industries, Inc., Roofing Supply Group, LLC, Universal Fiber Systems, LLC and Velcon Filters, LLC.