EBJ News for February 8, 2017

Environmental Industry Acquisitions During February

This week’s EBJ News article focuses on the multitude of Environmental Industry Acquisitions happening in the green sector.

Eco Logical Australia joins Tetra Tech
Eco Logical Australia (ELA, Sutherland, NSW) has been acquired by Coffey, a Tetra Tech company (Pasadena, Calif.). “This acquisition expands our geographic footprint across Australia and enables us to bring leading technical solutions in the environmental and water markets to our Asia-Pacific clients,” said Dan Batrack, Tetra Tech Chairman and CEO. Founded in 2001, ELA has 160 staff and offers services in aquatic ecology, archaeology and heritage, bushfire services, environmental offsets and “biobanking,” GIS and remote sensing, natural resource management and restoration ecology, among others. The ELA management structure will remain intact, with CEO Andrew Morison joining the Coffey management team. Tetra Tech acquired Coffey (Chatswood, NSW) in early 2016.

Archer Western to expand wastewater reclamation facility in Georgia
Archer Western (Atlanta, Ga.), part of The Walsh Group (Chicago, Ill.), has been selected in a “best value” procurement process to expand the Fowler Wastewater Reclamation Facility in Forsyth County, Ga. The $63 million expansion will be completed in two phases and is planned to triple the workload of the facility. The first phase will increase the plant’s capacity from 2.5 to 5 million gallons per day, and then up to 7.5 million gallons per day after the second phase of construction. The project will add to Archer Western’s membrane bioreactor (MBR) experience, including a $187 million expansion to the Snapfinger Advanced Wastewater Treatment Facility in Decatur, Ga. and $137 million Johns Creek Environmental Campus in Roswell, Ga.

Savage acquires industrial and environmental field services company Sunpro
Savage (Salt Lake City, Utah) has acquired Midwest-based industrial and environmental field services company Sunpro Inc. (Canton, Ohio). Founded in 1989, Sunpro provides emergency response and planned services, including spill response, remediation, and transportation of environmental waste, across a variety of industries. Sunpro operates nine facilities supporting more than 100 customers in 12 states. Founded in 1946, Savage is a supply-chain solutions and industrial services company with more than 3,000 team members and more than 230 operating locations throughout North America and internationally.

AECOM announces first quarter fiscal year 2017 revenues of $4.4 billion
AECOM (Los Angeles), a global infrastructure firm, has reported FY2017 first quarter revenue of $4.4 billion for the three months ended December 31, 2016. Net income was $47 million. “AECOM’s strong momentum has continued into fiscal 2017,” said Michael S. Burke, AECOM’s chairman and CEO. “Our first quarter wins totaled nearly $6 billion, highlighted by the selection of our joint venture for the more than $1 billion decommissioning of the San Onofre Nuclear Generating Station (SONGS). Importantly, our confidence in the five-year financial targets that we introduced in December is bolstered by the bipartisan support for infrastructure, the more than $200 billion global nuclear decommissioning market, prospects for increased defense spending, and the new administration’s emphasis on improving the climate for business investment in the U.S.”

Sevenson completes first phase of New Jersey lake cleanup
Sevenson (Niagara Falls, N.Y.) announced that it has completed the removal of 30,000 cubic yards of contaminated sediment from Pompton Lake, N.J., with 100,000 more to go. Sevenson workers have dredged and hauled away about 2,000 truckloads of contaminated sediment in the first phase of a $50 million cleanup of a portion of Pompton Lake. Activity will resume in the spring when the larger second phase of the cleanup begins to remove sediment laced with mercury, lead, and other contaminants from about 36 acres of the 200-acre lake on the border of Pompton Lakes, Wayne, and Oakland in New Jersey.

Great Lakes announces $88 million award for restoration on the Gulf Coast
Great Lakes Dredge & Dock Corporation (GLDD, Oak Brook, Ill.), a provider of dredging and environmental and remediation services, has announced an $88 million award for Phase I of the Mississippi Coastal Improvements Program (MsCIP) Comprehensive Barrier Island Restoration. MsCIP was initiated in the aftermath of Hurricane Katrina. Ship Island is part of the Gulf Islands National Seashore and currently exists as two islands separated by Camille Cut, a 3.5-mile-wide shallow sandbar created between the two small islands in 1969 by Hurricane Camille. Great Lakes will dredge nearly 7 million cubic yards of sand from distant borrow sources to close Camille Cut and restore Ship Island to a single elongated barrier island. “It is a critical piece of infrastructure that helps mitigate the damage caused by storms, thereby helping to protect communities,” said president of Dredging Operations David Simonelli. “We look forward to working with the U.S. Army Corps of Engineers, Mobile District, and the National Park Service as we execute this important project.”

Total corporate funding in solar sector at $9.1 billion in 2016
Total global corporate funding in the solar sector, including venture capital/private equity (VC), debt financing, and public market financing, raised by public companies came to $9.1 billion, compared to $25.3 billion in 2015, a 64% drop, according to Mercom Capital Group (Austin, Texas). “It was a challenging year for solar companies in terms of fundraising even as demand is expected to reach an all-time high,” said Raj Prabhu, CEO and co-founder of Mercom Capital, a global clean energy research firm. “However, 2017 looks better than expected as lower module prices are expected to boost installation levels,” he added. Mercom’s report on funding and M&A for the solar sector in 2016 found that global VC investments came to $1.25 billion in 77 deals in 2016, compared to $1.1 billion in 83 deals in 2015. The largest VC deals included the $300 million raised by Sunnova Energy and $220 million raised by Solar Mosaic. Public market financing reached $1.8 billion in 27 deals. Three IPOs brought in $230 million: BCPG, Azure Power, and Ripasso Energy. SolarCity raised a total of $234.6 million in two securitization deals, and Shenzhen Energy had one for $152 million. There were 68 corporate solar M&A transactions in 2016, the largest being the $2.1 billion acquisition of SolarCity by Tesla Motors.

Belgian wastewater treatment plant first in Europe to use GE’s ZeeLung technology
A combined solution of GE Water & Process Technologies’ ZeeLung Membrane Aerated Biofilm Reactor (MABR), and ZeeWeed membrane bioreactor (MBR) technologies has been chosen by the wastewater treatment company Aquafin to upgrade the Schilde Wastewater Treatment Plant in Belgium. The plant needs to meet new total nitrogen removal requirements within its existing footprint. In the hybrid system 50% of wastewater is treated by ZeeWeed 500D MBR, and the remaining flow of 8 million liters per day is treated by a conventional activated sludge system. Adding ZeeLung MABR to the plant will enable improved total nitrogen removal in the conventional activated sludge stream. The Schilde Wastewater Treatment Plant is the largest municipal hybrid MBR system in Flanders. In October 2016, GE confirmed it was exploring options for selling GE Water & Process Technologies (Trevose, Pa.).

Altus Capital acquires MAX Environmental
Altus Capital Partners has acquired MAX Environmental Technologies Inc. (Pittsburgh, Pa.). Altus partnered with industry veteran Bob Shawver, who will assume the role of CEO at MAX. Altus, along with management, made the investment to recapitalize the company and fund continued growth. Financial terms were not disclosed. Founded in 1957, MAX Environmental specializes in waste management, delivering services for waste transportation, treatment, storage, and disposal, as well as beneficial reuse of industrial and drilling waste materials. The company’s Bulger, Pa. facility is located in the heartland of the Marcellus and Utica Shale gas plays, positioning it for disposal services for the oil and gas market.

Arcadis wins adaptation planning award in Poland
Global design and consultancy firm Arcadis (Amsterdam, Netherlands) been awarded a contract to help 44 Polish cities adapt to climate change as part of a consortium that includes Polish governmental organizations such as the National Research Institute of Environmental Protection. The contract to develop adaptation plans for cities with more than 100,000 inhabitants has been granted by the Polish Ministry of Environment. Each city will be the subject of an assessment to determine its resilience, creating a basis for planning adaptation measures to be implemented in that city. Project completion is scheduled for two years after signing of the contract, and its value amounts to €5.8 million.

Gradiant enters China’s industrial water treatment market
Gradiant (Boston, Mass.), a technology company that specializes in industrial water solutions, announced in January that it is developing six brine concentration projects in China, two of which are in the final stages of negotiation. Gradient is working to secure the contracts with Shanghai Electric, a Hong Kong and Shanghai-listed enterprise and one of China’s largest mechanical and electrical equipment manufacturers. Cooperation with Shanghai Electric follows an investment made by the Chinese company in Gradiant in 2016. Prior to the investment, Shanghai Electric engineers vetted Gradiant’s award-winning Carrier Gas Extraction (CGE) process, which produces fresh water from high total dissolved solids (TDS) wastewater with significant cost advantages over traditional brine concentration or zero-liquid discharge technologies. “Shanghai Electric has a sizable desalination business as well as a strong understanding of water needs in China’s industrial sectors. They invested in Gradiant after determining the huge market potential of our desalination technologies in the region,” said Anurag Bajpayee, Gradiant’s co-founder and CEO.

 

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