Investment Summary

Hunt Investment Group, HSBC Capital and Capitala Group Exit Living Earth

On June 1, 2011, private equity firm Terra Verde Partners and corporate investor NGP Energy Technology Partners invested in agriculture company Living Earth from Hunt Investment Group, HSBC Capital and Capitala Group

Investment Highlights
  • This is Terra Verde Partners’ 1st and NGP Energy Technology Partners’ 1st transaction in the Agriculture sector.
  • This is Terra Verde Partners’ 1st and NGP Energy Technology Partners’ 14th transaction in the United States.
  • This is Terra Verde Partners’ 1st and NGP Energy Technology Partners’ 4th transaction in Texas.
Investment Fate
  • Living Earth was sold to a consortium of financial buyers in 2017.

Investment Summary

Date 2011-06-01
Target Living Earth
Sector Agriculture
Investor(s) Terra Verde Partners
NGP Energy Technology Partners
Sellers(s) Hunt Investment Group
HSBC Capital
Capitala Group
Deal Type Secondary Buyout

Target

Living Earth

Dallas, Texas, United States
Living Earth is a manufacturer and provider of mulch, compost, and other landscaping materials in the State of Texas. The Company operates thirteen locations, primarily in the metropolitan areas of Dallas and Houston, selling to commercial contractors and nurseries. Living Earth was founded in 1985 and is based in Dallas, Texas.

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Investor(S) 2

Investor

Terra Verde Partners

Dallas, Texas, United States

Category Private Equity Firm
Founded 2009
Size Small
Type Sector Focused
DESCRIPTION

Terra Verde Partners is a private equity firm focused on investments in the environmental sector. The Firm specifically targets North American manufacturing or service businesses 'with commercially validated technology'. Terra Verde looks to invest $1 to $10 million in businesses with revenues of $5 to $50 million. Terra will consider a variety of transaction types and situations, including buyouts of healthy businesses, non-core divestitures, underperforming companies, consolidations, and growth capital financings. Terra Verde Partners was formed in 2009 and is based in Dallas, Texas.


DEAL STATS #
Overall 1 of 1
Sector: Agriculture M&A 1 of 1
Type: Secondary Buyout M&A Deals 1 of 1
State: Texas M&A 1 of 1
Country: United States M&A 1 of 1
Year: 2011 M&A 1 of 1
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2017-07-18 Living Earth

Dallas, Texas, United States

Living Earth is a manufacturer and provider of mulch, compost, and other landscaping materials in the State of Texas. The Company operates thirteen locations, primarily in the metropolitan areas of Dallas and Houston, selling to commercial contractors and nurseries. Living Earth was founded in 1985 and is based in Dallas, Texas.

Sell -
Investor

NGP Energy Technology Partners

Washington, District of Columbia, United States

Investor Investor Investor Investor Investor


Category Corporate Investor
Founded 2005
PE ASSETS 500M USD
Size Middle-Market
Type Sector Focused
DESCRIPTION

NGP Energy Technology Partners LP (“NGP ETP”) is private equity firm focused the energy sector. The Firm targets buyout and growth capital transactions in sub-sectors spanning alternative energy, energy efficiency, oilfield technology and power. NGP will consider both minority and control investments and looks to invest $5 to $30 million per transaction. NGP Energy Technology Partners is a subsidiary of the NGP Energy Capital Management. NGP Energy Technology Partners was formed in 2005 and is based Washington DC with an additional office in New Orleans.


DEAL STATS #
Overall 15 of 23
Sector: Agriculture M&A 1 of 1
Type: Secondary Buyout M&A Deals 3 of 3
State: Texas M&A 4 of 8
Country: United States M&A 14 of 21
Year: 2011 M&A 2 of 2
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2011-05-09 Flogistix

Oklahoma City, Oklahoma, United States

Flogistix manufactures wellhead gas compressors designed to meet complex unconventional reservoir compressor and vapor recovery applications. The company's equipment and services are used to improve production rates, extend the useful life of a well, increase proven reserves, reduce emissions and capture valuable vapors that would otherwise be vented or flared. With compressor control systems and a proprietary Multi-Stream system that enables companies to target and control multiple sources of gas at various pressures, Flogistix provides production optimization services for some of the largest major and independent oil and gas producers in the world. Flogistix was formed in 1996 and is based in Oklahoma City, Oklahoma.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2012-01-12 Penn Power Group

Philadelphia, Pennsylvania, United States

Penn Power Group is a aftermarket repair and maintenance services provider and an authorized distributor for trucking and power generation original equipment manufacturers in exclusive territories across the US. Penn Power Group was founded in 1977 and is based in Philadelphia, Pennsylvania.

Buy $66M

Seller(S) 3

SELLER

Hunt Investment Group

Dallas, Texas, United States

Investor


Category Asset Manager
Founded 1990
Size Small
Type Sector Agnostic
DESCRIPTION

Hunt Investment Group is the direct investment arm of the Hunt Investment Corporation. Hunt Investment looks to provide equity capital to established, mid-sized companies with revenues between $10 and $25 million. Target opportunities are typically headquartered in the US and require a minimum equity investment of $1 million. HPEG will consider both majority and significant minority ownership positions. Broad areas of interest include consumer products and services, business services, manufacturing and distribution. HPEG will not invest in energy/natural resources, real estate, financial services, healthcare, technology, media, and utilities. Hunt Investment Group is based in Dallas, Texas.


DEAL STATS #
Overall 3 of 3
Sector: Agriculture M&A 1 of 1
Type: Secondary Buyout M&A Deals 3 of 3
State: Texas M&A 1 of 1
Country: United States M&A 3 of 3
Year: 2011 M&A 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2008-09-18 Wythe-Will Distributing

Toano, Virginia, United States

Wythe-Will Distributing LLC is a food distributor of branded and private label gourmet foods and confections.

Sell -
SELLER

HSBC Capital

New York, New York, United States

Category Private Equity Firm
Founded 1991
PE ASSETS 1.6B USD
Size Large
Type Sector Agnostic
DESCRIPTION

HSBC Capital (North America) the US and Canada principal investments arm of HSBC. HSBC Capital consists of HSBC Capital Canada and HSBC Capital USA. The Group focuses on making private equity and mezzanine investments in profitable, mid-market companies and select real estate transactions. The Group will consider both control and minority positions. Investment proceeds are generally used to support buyouts, expansion financings, recapitalizations, and real estate acquisitions. In addition to targeting US based opportunities, the Group will also consider investments in Latin America. Broad sectors of interest include manufacturing, service, and distribution. HSBC Capital was formed in 1991 and is based in New York City, HSBC Capital has become Graycliff partners on Dec 2011.


DEAL STATS #
Overall 6 of 17
Sector: Agriculture M&A 1 of 1
Type: Secondary Buyout M&A Deals 2 of 6
State: Texas M&A 1 of 1
Country: United States M&A 6 of 17
Year: 2011 M&A 1 of 7
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2010-03-19 Best Brands

Minneapolis, Minnesota, United States

Best Brands Corp. is a provider of quality ingredients and supplies, with a mission to provide the best possible products and services for all segments of the baking industry. Best Brands was founded in 1971 and is based in Minneapolis, Minnesota.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2011-06-15 Equitrac

Plantation, Florida, United States

Equitrac Corp. is a provider of intelligent print management and cost recovery software solutions. The Company provides products that enable customers to manage, allocate, and recover printing costs, reduce print-related waste and cost, and enhance document security. With over 25,000 customer installations worldwide, the Company’s solutions are used by a broad customer base across many industry verticals, including commercial, legal and professional, education, financial services, healthcare, and government agencies. Equitrac has strategic partnerships with world-leading OEMs, including Xerox, Ricoh and Canon, and over 300 independent VARs providing the Company with a powerful distribution channel with extensive global reach.

Sell $161M
SELLER

Capitala Group

Charlotte, North Carolina, United States

Investor Investor Investor Investor Investor


Category Asset Manager
Founded 1998
PE ASSETS 2.2B USD
Size Large
Type Sector Agnostic
DESCRIPTION

Capitala Group is an asset manager that provides equity and mezzanine capital to mid-sized companies valued up to $250 million. Funds are generally used to support growth needs, add-on acquisitions, management/leveraged buyouts, and recapitalizations. Capitatala will invest across the US, but generally targets opportunities located in the Southeast. Industry preferences include building products, business services, consumer/reteail, general industrial, healthcare, and technology. Prospective companies typically have revenues greater than $10 million and EBITDA of at least $3 million. Capitala was formed in 1998 and is headquartered in Charlotte, North Carolina.


DEAL STATS #
Overall 10 of 56
Sector: Agriculture M&A 1 of 1
Type: Secondary Buyout M&A Deals 2 of 19
State: Texas M&A 1 of 3
Country: United States M&A 9 of 55
Year: 2011 M&A 1 of 4
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2011-05-25 California Pizza Kitchen

Costa Mesa, California, United States

California Pizza Kitchen is a casual dining chain featuring an imaginative line of hearth-baked pizzas, including the original BBQ Chicken Pizza, and a broad selection of distinctive pasta, salads, appetizers, soups, sandwiches, and desserts. California Pizza Kitchen was founded in 1985 and is based in Costa Mesa, California.

Buy $470M
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2011-08-01 Southern Parts & Engineering Co.

Alpharetta, Georgia, United States

Southern Parts & Engineering Co. is a value-added distributor and servicer of industrial air compressors and parts. SPECO provides a deep mix of rotary and reciprocating compressor parts, and through its machining operation in St. Louis can manufacture custom parts to customer specifications or to match OEM requirements.

Sell -